# Introduction

This booklet describes the relocation payments and other relocation
assistance provided under **section 104(d) of the Housing and Community
Development Act of 1974** (section 104(d)) to eligible persons displaced
from their homes. Persons eligible for assistance have the option of
declining the section 104(d) assistance and receiving assistance under
the **Uniform Relocation Assistance and Real Property Acquisition
Policies Act of 1970 (URA)**, if they decide that it is in their best
interest.

[NOTE]{.underline}: Aliens not lawfully present in the United States are
not eligible for URA relocation assistance, unless such ineligibility
would result in exceptional hardship to a qualifying spouse, parent or
child. A person seeking URA relocation assistance must certify that the
person is a United States citizen or national, or an alien lawfully
present in the United States. (Section 104(d) assistance is not subject
to this requirement.)

# Eligibility

To be eligible for relocation assistance under section 104(d), you must
be a **lower-income person** (family or individual) and must move as a
direct result of the \"**conversion**\" or **demolition** of your
dwelling unit for a project in which Federal Community Development Block
Grant (CDBG), Section 108 Loan Guarantee**,** or HOME Investment
Partnerships funds are used.

\"Lower-income\" means that your income does not exceed 80% of the
median income for the area as established by the U.S. Department of
Housing and Urban Development (HUD).

Generally, \"conversion\" means that before the project, your unit had a
\"market rent\" at or below the HUD Fair Market Rent (FMR) standard,
and, after the project, the market rent exceeds the FMR, or the unit was
converted to a nonresidential use. HUD determines the FMRs for use in
its programs. The levels vary by metropolitan area and by the size of
the unit.

The Agency (identified at the back of this booklet) will determine
whether you qualify as a lower-income person and if your home will be
demolished or \"converted.\" If you do not qualify for section 104(d)
assistance, you may be eligible for relocation assistance under the URA.

**Caution**. If you are notified that you will be displaced, it is
important that you **do not move** before you learn what you must do to
receive the relocation payments and other assistance to which you are
entitled.

This booklet may not answer all of your questions. If you have more
questions about your relocation, contact your Agency representative.
(See name/telephone number in the back of this booklet.) Ask your
questions before you move. Afterwards, it may be too late.

# Summary of Relocation Assistance

As an eligible tenant (or homeowner) displaced from your home, you will
be offered the following advisory and financial assistance:

-   **Advisory Services** (*same under section 104(d) and URA*). This
    includes referrals to comparable and suitable replacement homes, the
    inspection of replacement housing to ensure that it meets
    established standards, help in preparing claim forms for relocation
    payments, counseling and other assistance to minimize the impact of
    the move.

-   **Payment for Moving Expenses** (*same under section 104(d) and
    URA*). You may choose either a:

> \-- **Payment for Your Actual Reasonable Moving and Related
> Expenses**,
>
> **or**
>
> \-- **Moving Expense and Dislocation Allowance, or**
>
> \-- **a combination of both, based on circumstances**.

-   **Security Deposit** (available under section 104(d) only, when
    required).

-   **Interim Living Costs**, when required.

-   **Replacement Housing Assistance**. To enable you to rent, or, if
    you prefer, to buy a replacement home, you may choose either:

\-- **Rental Assistance**, or

\-- **Purchase Assistance**.

If you disagree with the Agency\'s decision as to the relocation
assistance for which you are eligible, you may appeal that decision.

**[Basic Questions and Answers]{.underline}**

**How Will I Know I Am Eligible For Relocation Assistance?**

Any one of several actions can trigger eligibility for relocation
assistance. Promptly after eligibility is triggered, the Agency must
provide you a written \"Notice of Eligibility for Relocation
Assistance.\" To be certain of your eligibility, you should not move
before receiving that notice. If you do, you may not receive relocation
assistance.

**How Will The Agency Know How Much Help I Need?**

You will be contacted at an early date and personally interviewed by a
representative of the Agency to determine your relocation needs and
preferences for replacement housing and advisory services. The
interviewer will ask certain questions about you and other members of
your household, including questions about your income. It is to your
advantage to provide the information so that the Agency can assist you
in moving with a minimum of hardship. The information you give will be
kept in confidence.

**How Soon Will I Have To Move?**

If possible, a mutually agreeable date for the move will be worked out.
You will be given enough time to make plans for moving. Unless there is
a health or safety emergency, you will not be required to move without
at least 90 days advance written notice of (1) at least one \"comparable
replacement home\" that is available to you and (2) the earliest date by
which you must move.

**What Is A Comparable Replacement Home?**

A comparable replacement home is:

-   Decent, safe, and sanitary.

-   Functionally equivalent to your present home. It may not be
    identical, but it will be equal to or better than your present home.

-   Actually available for you to rent.

-   Within your ability to pay as described in this booklet.

-   Reasonably accessible to your place of employment.

-   Generally as well located with respect to public and commercial
    facilities, such as schools and shopping, as your present home.

-   Not subject to unreasonable adverse environmental conditions.

-   Available to all persons regardless of race, color, religion, sex,
    or national origin.

**What Is Decent, Safe, And Sanitary Housing?**

Decent, safe, and sanitary housing is housing that:

-   Meets applicable housing and occupancy requirements.

-   Is structurally sound, weathertight, and in good repair.

-   Contains a safe, adequate electrical wiring system.

-   Has adequate living space for the occupants.

-   Has a kitchen with a sink, hot and cold running water, and
    connections for a stove and refrigerator (if you were displaced from
    a housekeeping unit).

-   Has a separate, complete bathroom with hot and cold running water.

-   Has heating as required by climatic conditions.

-   Has an unobstructed exit to safe, open space at ground level.

-   Meets standards protecting occupants from lead-based paint hazards.

-   If you are a person with a physical disability, is free of any
    barriers which would preclude your reasonable use of the unit.

**Will The Agency Help Me Find A Replacement Home?**

Yes. You will be provided with referrals to housing that has been
inspected to ensure that it meets the established standards. If
possible, you will be referred to at least three comparable replacement
homes. All comparable replacement homes must be available to you, and,
with the rental assistance for which you may qualify, they must be
affordable to you. The maximum financial assistance for which you may
qualify will be based on the cost of the most representative comparable
replacement home. Promptly after you become eligible for relocation
assistance, the Agency will inform you of such unit and the maximum
payment available.

Once the Agency representative has a clear understanding of your needs
and preferences, he or she will work with you to assure that you are
given the best possible choice of housing. You will be offered
appropriate transportation to inspect these units.

If you would like to move to government-owned housing or obtain a
Housing Choice Voucher (HCV), let the Agency representative know of your
interest. Generally, an eligible displaced person receives preference
for such long term housing assistance. You will be given assistance in
completing any required application forms.

**\
What If I Find My Own Replacement Housing?**

You have every right to find your own replacement housing. However,
before you rent or buy, ask the Agency to inspect the unit to make sure
that it is decent, safe, and sanitary. If the housing unit is not
decent, safe, and sanitary, you will not receive a replacement housing
payment.

**What If I Encounter A Problem In Obtaining Housing Of My Choice?**

If you encounter a problem in buying or renting housing of your choice,
notify the Agency immediately. The Agency will look into the matter and
try to resolve it. You will receive this help whether you were referred
to the housing unit or found it yourself.

If you are unable to buy or rent a housing unit because of
discriminatory practices on the part of a real estate broker, rental
agent, lender, or a property owner, the Agency will help you file a
formal housing discrimination complaint with the U.S. Department of
Housing and Urban Development or the appropriate State or local fair
housing agency.

**What Other Services Will I Receive?**

In addition to help in obtaining a comparable replacement home, other
assistance, as necessary, will be provided in order to minimize the
impact of your move. This assistance may include referral to appropriate
public and private agencies that provide services concerning housing
financing, employment, health, welfare, or legal assistance. The range
of services depends on the needs of the person being displaced. You
should ask the Agency representative to tell you about the specific
services that will be available to help you and your family.

# 

# Payment for Moving Expenses

To pay the cost of moving, you may choose either a **payment for actual
reasonable moving and related expenses,** or a **moving expense and
dislocation allowance,** or **a combination of both, based on
circumstances**.

**What Is A Payment For Actual Reasonable Moving And Related Expenses?**

If you choose a Payment For Actual Reasonable Moving And Related
Expenses, you may include in your claim the reasonable and necessary
costs for:

-   Transportation for you and your family.

-   Packing, moving and unpacking your household goods.

-   Disconnecting and reconnecting household appliances and other
    personal property (examples: telephone and cable TV).

-   Storage of household goods, as may be necessary.

-   Insurance for the replacement value of your property during the move
    and necessary storage.

-   The replacement value of property lost, stolen or damaged in the
    move (but not through your neglect) if insurance is not reasonably
    available.

The Agency will explain all eligible moving costs, as well as those
which are not eligible. You must be able to account for any costs that
you incur, so keep all your receipts. Select your mover with care. The
Agency can help you select a reliable and reputable mover.

You may elect to pay your moving costs yourself and be repaid by the
Agency, or, if you prefer, the Agency will pay the mover directly. In
either case, let the Agency know before you move.

**What Is A Moving Expense And Dislocation Allowance?**

If you choose a Moving Expense and Dislocation Allowance, you will
receive an allowance which is normally based on the number of rooms of
furniture you will be moving, as shown on a schedule. The Agency has a
copy of the schedule and will help you decide whether choosing this
allowance is in your best interest.

If you do not have a large amount of personal property to move, this
payment should be more advantageous. No special documentation is
required to support your claim. You need only move your personal
property and complete the appropriate claim form in order to receive
your payment.

# Payment for Rental Assistance

You may be eligible to receive rental assistance. If so, you may choose
assistance under section 104(d) or under the URA. For most lower-income
tenants, the amount of assistance provided under section 104(d) is
greater.

**Section 104(d) Rental Assistance**.

If you are eligible, you will receive assistance based on estimated
needs for a period of 60 months. The Agency may offer you that
assistance in cash or under the HCV Program. The Agency will tell you
which option it is providing to you.

-   **Cash Rental Assistance**. A household's "need" for rental
    assistance is computed by subtracting the highest of the following
    calculations from the rent and estimated average monthly utility
    costs for your new home (or a comparable replacement home, if that
    cost is lower):

1.  30 percent of the household's monthly adjusted income,

2.  10 percent of the household's monthly gross income, or

3.  The welfare rent allowance (where designated).

That monthly need, if any, is multiplied by 60, to determine the total
amount that you will receive. This amount will be paid directly to you
in monthly installments or other periodic payments.

> **Example**: Let\'s say that your family\'s adjusted monthly income is
> \$600, and the monthly rent and estimated average utility costs for
> the comparable replacement home to which you move are \$350. In this
> case, your monthly need would be \$170 \[\$350 - \$180 (30 percent of
> \$600)\]. Multiplying this amount by 60 results in \$10,200 of rental
> assistance.

-   **Housing Choice Voucher (HCV) (section 104(d)).** You may be
    offered a HCV. If so, you will also be referred to comparable
    replacement homes where the owner will accept the voucher. If the
    rent and estimated average monthly utility costs for both the
    comparable replacement home and the unit to which you relocate
    exceed the voucher "payment standard," you will qualify for cash
    assistance to cover the gap for 60 months.

> **Advantages of HCV Assistance**. The HCV assistance may continue for
> as long as you have a need. Unlike cash assistance, HCV assistance is
> recomputed each year to reflect changes in your income, rent or the
> cost of utilities. While cash assistance will terminate at the end of
> 60 months, HCV assistance may continue to be available after the
> 60-month period ends if you still qualify as a lower-income person.

**URA Rental Assistance**.

URA rental assistance is computed by subtracting the \"base monthly
rent\" for your present home from the rent and average monthly cost of
utilities for your new home (or a comparable replacement home, if that
cost is lower). That monthly need, if any, is multiplied by 42, to
determine the total amount that you will receive. This amount will be
paid directly to you in monthly installments or other periodic payments.
Generally, the base monthly rent for your present home is the
*[lesser]{.underline}* of: (1) the monthly rent and average monthly cost
for utilities, or (2) thirty (30) percent of your income (if you are
low-income based on HUD income limits).

**Examples**: Let\'s say that the monthly rent and average cost for
utilities for your present home are \$250; the monthly rent and
estimated average utility costs for a comparable replacement home are
\$350; and your monthly gross income is \$700. In this case, your \"base
monthly rent\" would be \$210 because you are low-income and that amount
(30 percent of your income) is less than the monthly cost of rent and
utilities at your present home (\$250).

-   If you rent a replacement home for \$360 per month, including
    estimated average monthly utility charges, you will receive \$5,880.
    That amount is 42 times \$140 (the difference between the \"base
    monthly rent\" for your present home (\$210) and the cost for a
    comparable replacement home (\$350)).

-   If you rent a replacement home for \$310, including estimated
    average monthly utility charges, you will receive \$4,200. That
    amount is 42 times \$100 (the difference between the \"base monthly
    rent\" for your present home (\$210) and the actual cost of your new
    home (\$310)).

# Purchase Assistance

If you buy, rather than rent, a replacement home, you may be eligible
for assistance to make a down payment. The amount depends on the type of
housing that you buy. Section 104(d) purchase assistance is limited to
mutual housing and cooperative housing. If you wish to purchase a house
that is not mutual or cooperative housing, your purchase assistance
would be provided under the URA.

**Section 104(d) Purchase Assistance**.

If you buy a replacement home which is mutual or cooperative housing,
you may be eligible for assistance based on the present value of the
monthly payments you would receive if you rented a comparable
replacement home for 60 months. Remember, the monthly payment is
generally determined by subtracting 30 percent of your adjusted income
from the monthly rent and estimated average monthly utility costs for a
comparable replacement home.

**Example**: Assuming the information in the prior section 104(d)
example and a 4 percent return on passbook savings, the purchase
assistance would be \$9,231. Remember, your net monthly contribution is
\$180, and the monthly rent and estimated average monthly cost of
utilities for a comparable replacement home total \$350. The monthly
difference is \$170. The present value of 60 monthly payments of \$170,
discounted at 4 percent, is \$9,231. The full amount of the payment must
be applied to the purchase of the mutual or cooperative housing that you
buy.

**URA Purchase Assistance for Renters**.

URA assistance to make a down payment is equal to the amount you would
receive if you had rented a comparable replacement home (42 times the
amount obtained by subtracting the \"base monthly rent\" for your
present home from the monthly rent and estimated average monthly cost of
utilities for a comparable replacement home). Remember, URA assistance
is not limited to mutual housing or cooperatives.

**Example**: Assuming the information in the prior URA examples, the
assistance for a down payment would be \$5,880. That amount is 42 times
\$140 (the difference between the \"base monthly rent\" for your present
home (\$210) and the monthly rent and estimated average monthly utility
costs for a comparable replacement home (\$350)). The full amount of the
payment must be applied to the purchase of your new home.

**[MORE QUESTIONS AND ANSWERS]{.underline}**

**Must I File A Claim To Obtain A Relocation Payment?**

Yes. You must file a claim for each relocation payment. The Agency will,
however, provide you with the required claim form, help you to complete
it, and explain the type of documentation, if any, that you must submit
in order to receive the payment.

If you must pay any relocation expenses before you move (for example, a
security deposit when you sign a lease for your new home), discuss your
financial needs with the Agency. You should be able to obtain an advance
payment to meet these costs. An advance payment may be placed in
\"escrow\" or paid directly to a contractor to ensure that the move will
be completed on a timely basis.

You must file your claim within 18 months after the date you move.
However, it is to your advantage to file as soon as possible after you
move. The sooner you submit your claim, the sooner it can be processed
and paid. Be careful not to confuse this 18-month filing period with the
requirement that you must rent (or buy) and actually occupy a decent,
safe and sanitary replacement home within 12 months of the move. (If you
are unable to occupy the replacement home within 12 months or file your
claim within 18 months after the move, ask the Agency to extend this
period.)

You will be paid promptly after you file an acceptable claim. If there
is any question regarding your right to a relocation payment or the
amount of the payment, you will be notified, in writing, of the problem
and the action you may take to resolve the matter.

**Will I Have To Pay Rent To The Agency Before I Move?**

If the Agency acquires the property in which you live, you may be
required to pay a fair rent to the Agency for the period between the
acquisition of the property and the date that you move. Such rent will
not exceed the market rent for comparable properties in the area.

**Do I Have To Pay Federal Income Taxes On My Relocation Payments?**

No. You need not report relocation payments as part of your gross income
for Federal tax purposes. For information on State or local income
taxes, you should check with the State or local income tax office in
your area or with your personal tax advisor.

**If I Don\'t Receive The Required Assistance, Can I Appeal?**

If you disagree with the Agency\'s decision as to your right to
relocation assistance or the amount of a payment, or the adequacy of the
housing to which you have been referred, you may appeal the decision to
the Agency.

The Agency will inform you of its appeal procedures. At a minimum, you
will have 60 days to file your appeal with the Agency after your receive
written notification of the Agency\'s determination on your claim. Your
appeal must be in writing. However, if you need help, the Agency will
assist you in preparing your appeal. If you are dissatisfied with the
Agency\'s determination on your appeal, you may request administrative
review of that decision (by HUD or the State). You can expect a fair
decision on any appeal. However, if you are not satisfied with the final
administrative decision on your appeal, you may seek review of the
matter by the courts.

**I Have More Questions. Who Will Answer Them?**

If you have more questions after reading this booklet, contact the
Agency and discuss your concerns.

Agency:      

Address:      

Office Hours:      

Telephone No.:      

Person to Contact: