HOUSE BILL REPORT
SB 6291
As Amended by the House
BYSenators von Reichbauer, Bender, Sellar, Johnson and Gaspard;by request of Department of Transportation
Expanding state relocation assistance and realty purchase policies.
House Committe on State Government
Majority Report: Do pass with amendment. (8)
Signed by Representatives H. Sommers, Chair; Anderson, Vice Chair; Baugher, Chandler, Hankins, O'Brien, Peery and Walk.
Minority Report: Do not pass. (1)
Signed by Representative Taylor.
House Staff:Ken Conte (786-7135)
AS PASSED HOUSE MARCH 4, 1988
BACKGROUND:
Federal Uniform Relocation Assistance and Real Property Acquisition Policies Act.
In 1970 Congress adopted the Uniform Relocation Assistance and Real Property Acquisition Policies Act (Uniform Act) which set forth specific requirements relating to the acquisition of property for public works projects and programs and the relocation of persons or businesses which are displaced as a result of such acquisitions.
In order for state and local governments to receive federal financial assistance on public works projects they must be in compliance with the requirements of the Uniform Act. In order to guarantee compliance and to ensure uniformity between state and local governments, the Legislature adopted the State Relocation Assistance and Real Property Acquisition statutes (Chapter 8.26). These statutes, adopted in 1971, are modeled after and are very similar to the Uniform Act.
In 1987, Congress adopted a number of substantive amendments to the Uniform Act. These amendments will take effect on April 1, 1989. In order to avoid delays in obtaining federal financial assistance for public works projects, it is necessary to amend state law to bring it into compliance with the amended Uniform Act.
Acquisition Policy - State Law
Prior to exercising its power of eminent domain, the state or a local government which is acquiring real property is required to make every reasonable effort to acquire the property by direct negotiation. Among other things, the property is to be appraised and the agency is to offer to purchase the property for a just amount equal to or greater than the appraised value. If the property is to be acquired through the exercise of the power of eminent domain then formal condemnation proceedings are to be instituted.
Relocation Assistance - State Law
Eligibility for Relocation Assistance - In order to be eligible for relocation assistance, a person, business, or farm must be displaced as a result of the acquisition of the property which the person, business, or farm is occupying.
Types of Relocation Assistance - There are four basic types of relocation assistance. These are 1) moving expenses, 2) payments to replace a dwelling, 3) rental supplements for tenants, and 4) relocation advisory services (assistance in locating a new dwelling and adjusting to the relocation).
In regards to relocation assistance, both federal and state law set forth specific eligibility requirements for and limitations on payments.
Applicability of Relocation Assistance and Acquisition Laws/Rules
As required by federal law, relocation assistance and acquisition laws apply to all state and local governments engaged in projects which are funded in whole or in part by federal monies.
In cases where no federal funds are involved, state agencies are still required, under state law, to comply with the relocation assistance and acquisition laws. However, under these circumstances, local governments are not required to comply with either relocation assistance or acquisition laws.
As a means of ensuring uniformity between state and local government, state law requires the State Department of Transportation to adopt rules implementing the relocation assistance and acquisition statutes. These rules, in turn, govern the relocation and acquisition activities of all state agencies and local governments.
SUMMARY:
Numerous amendments are made in state relocation assistance and acquisition laws in order to bring them into compliance with federal law. Generally, these amendments 1) expand eligibility for relocation assistance, 2) establish new limits on the payments that may be made for relocation to reflect current costs, and 3) give the Department of Transportation more flexibility in establishing payment schedules.
To a large extent, the proposed amendments to state law are identical to the 1987 amendments to the federal Uniform Act.
Applicability of Relocation and Acquisition Laws
As required by federal law, the application of relocation assistance and acquisition laws is extended to cover nongovernmental entities which have the power of eminent domain under state law.
While not required by federal law, state law would require local governments to comply with acquisition laws in cases where no federal funds are involved. Nongovernmental entities would have the option of electing not to comply with acquisition laws in cases where no federal funds are involved.
Local governments retain the option of not complying with relocation assistance laws in cases in which no federal funds are involved. This same option is extended to nongovernmental entities with the power of eminent domain.
Rewrite of Chapter/Technical Changes
In addition to incorporating the federally required amendments, the relocation assistance and acquisition laws have been substantially rewritten and reorganized. There are numerous technical amendments included for purposes of clarification or as a result of the reorganization of the chapter.
Fiscal Note: Not Requested.
Effective Date:The bill contains an emergency clause and takes effect immediately.
House Committee ‑ Testified For: Robert Barnard and Bob Stevenson, Department of Transportation.
House Committee - Testified Against: (Testified against one provision of the bill. This concern was addressed in the amendment.) Mike Tracy, Puget Sound Power and Light Company; and Patrick Halstead, Burlington Northern.
House Committee - Testimony For: This bill implements a number of federally required changes to state relocation assistance and acquisition laws. State compliance with these federal requirements is essential in order to receive federal public works funds.
House Committee - Testimony Against: (Testimony was restricted to one provision of the bill. This concern was addressed in the amendment.) Nongovernmental entities with the power of eminent domain should not be required to comply with acquisition laws when they are not using federal funds. These acquisition laws don't apply well to things such as easements.