Residential Relocation
ELIGIBILITY
Although an individual determination will be made on a case by case basis by applying the applicable laws and regulations, displaced persons are generally eligible for the relocation services and benefits provided by the agency. The types and levels of benefits and services to which a person may be entitled will vary depending on the type and length of occupancy of the property.
NOTICE
All displaced persons will have at least 90 days advance notice before they can be required to move. In addition, displaced persons will not be required to move permanently until at least one comparable replacement dwelling has been made available to them for purchase or lease.
MOVING COST REIMBURSEMENT
Displaced persons may be reimbursed for their actual reasonable moving expenses and related costs. Reimbursement for moving expenses may include such things as transportation of property; packing and unpacking; dismantling and reinstalling household appliances; temporary storage of personal property; insurance on personal property in connection with the move; the replacement value of property lost, stolen, or damaged in the process of moving for which insurance is not reasonably available.
Displaced persons may hire a professional mover or complete the move yourself. If a professional mover is hired, the expenses will need to be supported by receipts in order to ensure prompt reimbursement. The costs must also be reasonable and necessary. If displaced persons move themselves, they may be eligible for payment for their actual moving and related expenses.
Not all expenses associated with a move will be eligible for reimbursement. A displaced person is not entitled to payment for things such as the cost of moving any structure, interest on a loan to cover moving expenses, loss of profits, personal injury, legal fees or other costs for preparing a claim for a relocation payment, expenses incurred in searching for a replacement dwelling, or the cost for storage of personal property on real property already owned or leased by the displaced person.
Displaced persons need to make sure the agency knows their moving plans. To ensure that they are eligible for reimbursement, displaced persons must not move prior to receiving a Notice of Eligibility.
Displaced persons are entitled to receive a fixed payment as an alternative to a payment for actual moving expenses. This alternative payment will typically be made in accordance with schedules established by the Federal Highway Administration.
REPLACEMENT HOUSING PAYMENTS
OWNER OCCUPIED
Displaced homeowners may be entitled to a replacement housing payment. The goal of this payment is to allow displaced homeowners to move into decent, safe and sanitary housing which is also comparable to the housing they are moving from. This payment may not usually exceed a threshold dollar value set by the U.S. D.O.T. This amount is currently $22,500.00. The payment is also limited to the amount necessary to relocate to a comparable replacement dwelling within 1 year. For homeowners who have occupied the property for 180 days or more, the payment is calculated by adding the following:
1) The additional cost of the replacement home as compared to the amount you are paid for your home;
2) Increased interest cost and other debt service cost which you incur in connection with a mortgage on the replacement dwelling; and
3) Reasonable expenses incidental to the purchase of the replacement home such as closing costs, title insurance, recording fees, etc.
The replacement home cost used in determining the amount of housing replacement payment will be the lesser of:
(1) The cost that the displaced homeowner actually pays for decent, safe, and sanitary replacement housing; or
(2) The most nearly representative comparable dwelling found by the agency.
TENANTS AND OWNER OCCUPANTS
Displaced tenants or owner occupants may be eligible for a rental assistance payment to cover increased monthly rental costs. This amount may generally not exceed a threshold dollar amount set by the U.S. D.O.T. This amount is currently $5,250.00.
If you purchase a dwelling, you may be eligible for down payment assistance which generally may not exceed the rental assistance payment, which is currently $5,250.00.
RELOCATION ASSISTANCE ADVISORY SERVICES
Displaced persons may be eligible for relocation advisory services for the purpose of helping them to relocate to a suitable replacement property. These services include a determination of the displaced persons’ needs, an advisor explaining relocation payment, and help in submitting and processing their claims. Advisor services also involve things such as exploring listings of properties, including purchase prices and rental costs of suitable replacements. If displaced persons have special problems resulting from the relocation, the advisor will make every effort to assist them in obtaining services from both public and private agencies which may have the expertise to assist. In addition, the agency will assist displaced persons with transportation to view replacement dwellings, in the event they are unable to find other transportation.
DOCUMENTATION AND FILING
Any claim for a relocation payment must 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. Displaced persons will be provided reasonable assistance necessary to complete and file any required claim for payment.
Displaced persons must file all of their claims for relocation payments with the agency within 18 months after the date they are required to move. If they are an owner of the property, they will need to file all of their claims for relocation payments by:
(1) The date they are required to move from the property; or
(2) The date of the final payment for the acquisition of the real property, whichever is later.
ADVANCE PAYMENTS
If you demonstrate the need for an advance relocation payment in order to avoid or reduce a hardship, the agency may issue the payment. However, the agency will require appropriate safeguards to ensure that the payment is used for relocation.
RELOCATION BENEFITS NOT CONSIDERED INCOME
No relocation payment received by a displaced person will be considered as income for the purpose of 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.
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.
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