Washington State House of Representatives Office of Program Research | BILL ANALYSIS |
Judiciary Committee |
HB 1615
This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent. |
Title: An act relating to relocation assistance for persons displaced by agency property acquisitions.
Brief Description: Concerning relocation assistance for persons displaced by agency property acquisitions.
Sponsors: Representatives Kloba, Clibborn, Rodne, Doglio, Stanford and Jinkins; by request of Department of Transportation.
Brief Summary of Bill |
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Hearing Date: 1/31/17
Staff: Audrey Frey (786-7289).
Background:
In 1970 the federal Uniform Relocation Assistance and Real Property Acquisition Policies Act was enacted, establishing minimum relocation assistance standards for federally funded projects that require the acquisition of real property or displace persons from their homes, businesses, or farms. In 1971 a state version of the relocation assistance act was enacted.
In order to use federal funds on a public works project, state and local government agencies must comply with the federal statutory requirements for providing relocation assistance to displaced persons.
Unlike just compensation, which is a constitutionally-mandated award, an award of relocation assistance is a legislatively-crafted benefit controlled entirely by statute. Relocation assistance payments supplement traditional eminent domain compensation by addressing moving costs and other similar costs incurred by a person who is displaced from real property.
In 2012 Congress adopted the federal Moving Ahead for Progress in the 21st Century Act (MAP-21), which made certain revisions to the federal relocation assistance law. The revisions took effect in 2014 and include increases to the replacement housing payment limits for homeowners and tenants, as well as increases to the payment limits for certain other non-residential displaced persons. The homeowner length of occupancy requirement, or the minimum number of days that a person must have owned and occupied a dwelling in order to receive a homeowner replacement housing payment, was changed from 180 days to 90 days.
The payment thresholds and length of occupancy requirements in state law generally mirror the pre MAP-21 federal standards, with the exception of the business reestablishment payment, as illustrated in the table below:
Payment Type | Current State Limit | Pre MAP-21 Limit/ Current Federal Limit |
Business Reestablishment Payment | $50,000 | $10,000/ $25,000 |
Fixed Payment in Lieu of Moving Expenses | $20,000 | $20,000/ $40,000 |
Homeowner Replacement Housing Payment | $22,500 | $22,500/ $31,000 |
Homeowner Length of Occupancy Requirement * | 180 days | 180 days/ 90 days |
Tenant Replacement Housing Payment | $5,250 | $5,250/ $7,200 |
*The minimum number of days that a person must have owned and occupied a dwelling in order to receive a homeowner replacement housing payment.
Under both state and federal law, "displaced person" includes, in part, any person who moves from real property, or moves his or her personal property from real property: (1) as a direct result of written notice of intent to acquire, or the acquisition of, real property in whole or in part for a program or project undertaken by a displacing agency; or (2) as a direct result of rehabilitation, demolition, or other displacing activity, where the displacing agency determines that there is permanent displacement of a residential tenant, business, or farm.
Under state law, a "displacing agency" includes a state agency, local public agency, or any person carrying out a program or project, with federal or state financial assistance, that causes a person to be displaced.
Summary of Bill:
The payment thresholds and length of occupancy requirements in the state relocation assistance law are adjusted to meet the minimum federal standards.
References to fixed dollar amounts are replaced with language referring to the dollar amount allowed under the relevant provision of the federal law "as it existed on the effective date of this section, or such subsequent date as may be provided by the displacing agency by rule or regulation, consistent with the purposes of this section."
In effect, the payment thresholds and length of occupancy requirements are increased as follows:
Payment Type | Current State Limit | New State Limit |
Business Reestablishment Payment | $50,000 | $50,000*, or the federal limit, whichever is greater |
Fixed Payment in Lieu of Moving Expenses | $20,000 | $40,000* |
Homeowner Replacement Housing Payment | $22,500 | $31,000* |
Homeowner Length of Occupancy Requirement** | 180 days | 90 days |
Tenant Replacement Housing Payment | $5,250 | $7,200* |
*These limits may change if the federal limits change and the displacing agency issues a rule or regulation adopting the change.
**The minimum number of days that a person must have owned and occupied a dwelling in order to receive a homeowner replacement housing payment.
Language relating to a replacement housing payment for displaced homeowners who owned and occupied a dwelling for at least 90 days but less than 180 days is removed.
Appropriation: None.
Fiscal Note: Requested on 1/26/17.
Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is passed.