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AASHTO 2006 Clearinghouse Report

Relocation Benefit Levels

The Maine Department of Transportation requested a survey of the other states regarding
Relocation Benefit Levels.

The State of Maine is currently proposing some legislation that would increase the relocation re-establishment expense reimbursement for businesses from $10,000 to $20,000 and increase the fixed "in lieu of" payment from a max of $20,000 to $50,000. Would you please provide the following information for your state:

  1. What is your state's statutory limit on reimbursement for re-establishment expenses?

  2. What is your state's statutory limit on reimbursement for the fixed "in lieu of" payment to businesses?

  3. Does your state have any plans to raise either limit?

  4. How much? Re-establishment ________________ In Lieu of: ________________.

ALASKA

  1. $10,000.

  2. Minimum: $1,000; maximum: $20,000.

  3. No.

  4. N/A.

ARIZONA

  1. The Arizona Department of Transportation has a statutory limit of $10,000 (per Arizona Revised Statutes 28-7143A.4.) for reimbursement of re-establishment expenses.

  2. The statutory limit for the in-lieu payments is $20,000.

  3. We are not aware of any plans at the state level to raise these limits. If raised at a federal level we would make the necessary legislative changes so as to remain in conformance with the Federal Uniform Act.

  4. N/A.

ARKANSAS

  1. AHTD does not have a statutory limit - FHWA limits are used.

  2. N/A.

  3. N/A.

  4. We recommend that FHWA raise the re-establishment limit to $20,000 and the "in-lieu of" limit to $50,000.

    For additional information, please contact:

    Danny Arendt
    Section Head of Relocation
    501-569-2308.

CALIFORNIA

We follow the limits set forth in 49 CFR 24, i.e., $10,000 Re-establishment, $1,000 (minimum) to $20,000 (maximum) in-lieu payment. We will continue to use these amounts until FHWA has approval from the U.S. Legislature to increase the amounts.

We very much support an increase such as you outlined.

COLORADO

Colorado uses the current limits established by federal regulations, and I haven't seen any legislation proposed to raise these limits.

IDAHO

  1. Re-establishment is $10,000.

  2. "In lieu" is $20,000.

  3. Idaho does not have any plans to raise either limit at this time.

  4. N/A.

ILLINOIS

  1. $10,000.

  2. Minimum $1,000 - Maximum $20,000.

  3. Not at this time.

  4. N/A.

INDIANA

Any payment by INDOT may not exceed the maximum allowances provided by federal law for persons displaced by federal aid programs or projects.

  1. Business Reestablishment is $10,000.00 maximum.

  2. PIL is $20,000.00 maximum.

  3. No plans at this time to raise either entitlement.

  4. NA.

KENTUCKY

  1. The Commonwealth of Kentucky currently has a statutory limit of $10,000.

  2. Kentucky still stands with a statutory limit of $20,000.

  3. As much as we would like to raise both limits, I do not anticipate the Kentucky State Legislature approving a higher limit in the near future. Perhaps if other states are able to make the change, we may be able to persuade Kentucky's Legislature to follow suit.

  4. N/A.

MARYLAND

  1. $10,000.

  2. $20,000.

  3. Yes.

  4. Re-establishment: $40,000; In Lieu of: $50,000.

MASSACHUSETTS

  1. MA's statutory limit on reimbursement for re-establishment expenses is $10,000.

  2. MA's statutory limit on reimbursement for the fixed "in lieu of" payment to businesses is no less than $1,000 and no more than $20,000.

  3. I am not aware of any plan to raise either limit.

  4. N/A.

MICHIGAN

In response to your questions, the Michigan Department of Transportation has always followed the federal monetary guidelines as established in 49 CFR Part 24 of the Uniform Relocation Assistance and Real Property Acquisition for Federal and Federally-Assisted Programs. However, I applaud your attempts to pass legislation in Maine that would increase the monetary limits for businesses, farms and non-profit organizations, since I think the current relocation benefits don't fully compensate them during their displacement.

  1. Re-establishment Expenses in Michigan are capped at $10,000.

  2. The Fixed Payment in Michigan is maximized at $20,000.

  3. To date, the state has no legislative plans to increase these limits.

  4. N/A.

MINNISOTA

  1. Minnesota added and revised language in its state law relative to reestablishment, providing for a $50,000 permissive agency allowance, not a mandated one. In other words, the statutory language allows an agency to reimburse a displaced business up to $50,000, but the statute does not require an Agency to adopt the higher threshold. This has caused a discrepancy within the state, since the Minnesota Department of Transportation has adopted the higher reestablishment threshold, but most other state and local agencies have not.

  2. Minnesota law adopts the 49 CFR Part 24 federal regulatory thresholds in all areas except for reestablishment. Therefore, the fixed "in-lieu' payment thresholds in Minnesota are a minimum $1,000 to a maximum $20,000.

  3. Not specifically these benefits; although there is currently much discussion going on in the state legislature regarding possible changes to existing eminent domain laws and related costs.

  4. N/A.

NEBRASKA

  1. $10,000.

  2. $20,000.

  3. No.

  4. N/A.

NEW HAMPSHIRE

  1. 100,000.

  2. 20,000.

  3. No, we raised the limit two years ago. There has been legislation proposed, (not by the NHDOT) to pay a displacee's total relocation cost, i.e. no limits 100%.

  4. Re-establishment: total relocation cost. In Lieu of: no change.

NEW JERSEY

  1. $10,000.

  2. $20,000.

  3. There are currently several proposed bills in the legislature to address this and other eminent domain issues, generated primarily in response to the redevelopment controversy.

  4. The bills have all sorts of figures in them, ranging from current levels on upward to $100,000. All of the impacted state agencies are weighing in on the drafting of this legislation, in order that the traditional uses of eminent domain are not swept up in this current frenzy of legislative fervor.

NORTH DAKOTA

  1. Our statutory limit for time is 18 months from the date of relocation unless the Director determines an extension is necessary.

  2. Our statutory limit for time is 18 months from the date of relocation unless the Director determines an extension is necessary.

  3. North Dakota legislation raised our limits in 2003 and we are in a trial basis until 2007 and it will be looked at again.

  4. Re-establishment is actual reasonable and necessary for some items, and a $25,000 cap on other reestablishment items. The in-lieu amount was raised to $40,000.

OHIO

  1. $10,000.

  2. $20,000.

  3. No.

  4. N/A.

OKLAHOMA

  1. Oklahoma does not have a statutory limit for re-establishment expenses, it is whatever is considered to be "reasonable & necessary".

  2. Oklahoma does not have a statutory limit, we utilize the limit provided for in the CFR: $20,000.00.

  3. No.

  4. N/A.

TENNESEE

Tennessee law adopted the amounts in the Uniform Act, so they mirror the federal rules.

UTAH

Utah has adopted the federal limits by statute.

VIRGINIA

The state of Virginia has a statutory limit of $25,000 for reestablishment expenses. The fixed payment in lieu of actual expenses currently has a limit of not less than $1,000 or more than $50,000. The $50,000 limit will be changed to $75,000 effective July 1, 2006 as mandated in the passage of legislation in the current General Assembly.

WEST VIRGINIA

  1. $10,000.

  2. $20,000.

  3. No.

  4. N/A.

WISCONSIN

  1. The Wisconsin Statutory Limit on Reestablishment is $10,000.

  2. The Wisconsin Statutory Limit on the "In Lieu of " Payment or the Fixed Business Move Payment is $20,000.

  3. There is no current effort to change this amount or limit via any legislative agenda.

  4. Wisconsin has a Business Replacement Payment in the amounts of $30,000, for a Tenant Occupied Business and $50,000, for a Owner Occupied Business. The payments are calculated based on Comparable Replacement Sites, very similar to the Replacement Housing Payments under the Residential Payments. We cannot proceed with project construction until this requirement for a comparable site and payment has been made.

    Because Wisconsin has these payments we do not anticipate changes to the amounts for Reestablishment and the Fixed Payment unless the payment amounts are changed at the Federal Level.

    If you have any questions about the Business Replacement Payments, give me a call:

    Peg Hutnik
    Relocation Assistance Facilitator
    608-266-2369

WYOMING

  1. $10,000.

  2. $20,000.

  3. There has been talk about raising reestablishment but no action up to this point.

  4. Re-establishment Talk has ranged from $20,000 - $50,000 but no proposed legislation yet.

Updated: 09/05/2014
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