Companion Guide to Video August 2012

www.fhwa.dot.gov/federal-aidessentials

One of the fundamental rules when acquiring 

private property for public purposes—according to 

the U.S. Constitution—is that the owner be paid 

just compensation.

The Uniform Relocation Assistance and Real 

Property Acquisition Policies Act of 1970, or The 

Uniform Act, defines how public agencies must 

proceed when acquiring the right-of-way for a 

Federal-aid project. The act addresses: 

• The valuation of the property 

• The presentation of the offer to acquire 

the property

• Relocation assistance and benefit

Your agency must follow the rules of the Uniform 

Act to avoid delaying the project or losing Federal 

funding.

The goal of relocation assistance is to make a 

person “whole” by providing both advisory services 

and relocation assistance payments.

Advisory services provide information and guidance 

on the relocation process and available support. 

The services are determined through personal 

interviews. During the interview, for example, an 

agency may learn that a displaced person requires 

a professional mover, transportation to view 

potential replacement housing, or technical 

assistance for reinstalling machinery. The level of 

advisory services depends on the complexity of the 

move and the needs of the displaced person.

Relocation assistance payments are available to 

tenants, homeowners and businesses. For 

example, tenants may be eligible for rental 

assistance. Homeowners may be eligible for 

monetary assistance for the purchase of a home. 

And business owners may be eligible for moving, 

re-establishment, and other business-related 

expenses.

Let's look at how agencies progress 

through the relocation assistance 

process—from planning the move to 

claims processing. We'll also learn 

the importance of keeping a contact 

log.

Right-of-Way

Uniform Act

Relocation Assistance

In acquiring property for project right-of-way, property owner 

must be provided with assistance to relocate

In acquiring property for project right-of-way, property owner 

must be provided with assistance to relocate
Federal-aid Essentials for Local Public Agencies

To help minimize the adverse effects of 

displacement, agencies need to begin relocation 

planning at the earliest stages of project 

development. Before project approval, information 

is gathered about the needed parcels and any 

displaced individual or businesses. For example, 

your agency will need to know:

• If there will be displacements of residents 

or businesses and potentially how many

• The amount of time and resources 

required to accomplish the relocation

• If there is adequate replacement housing 

in the area and what is the cost

Next, the agency representative needs to contact 

the persons being displaced and begin an open 

dialog with them. Personal interviews are 

conducted and the individual needs of displaced 

persons begin to be identified. During this 

meeting, the relocation process, rights, and 

benefits are explained.

Displaced persons must be given a 90-day notice 

before being required to relocate. For property 

owners, the offer to purchase, also known as the 

Initiation of Negotiations, usually establishes the 

date of this relocation notice. 

To be eligible for a replacement housing payment, 

a displaced person must relocate into decent, safe, 

and sanitary housing. Before making payments, 

sponsoring agencies verify that the housing meets 

these and all other Federal and local regulatory 

standards. For business relocations, additional 

verifications are required to ensure all items in the 

inventory list have been removed. 

To receive payment, a relocated person typically 

submits a claim and required documentation. 

Occasionally an advance payment may be made to 

help the person complete a transaction, for 

example, to rent moving equipment.

How does this work in practice? Let's 

look at a project involving the widening 

of a one-mile stretch of a city street. 

The project will acquire several different properties, 

one of which is a single-family home that is owned 

and occupied by the Garcia family and valued at 

$100,000.

The agency’s relocation specialist has found 

comparable housing for $120,000 and determines 

that the Garcias are eligible for up to $20,000 in 

relocation housing payment. 

The relocation specialist meets the Garcias at their 

home and provides a description of the process, 

the purchse offer, and information about the 

relocation housing payment, moving costs and 

other advisory services. 
Federal-aid Essentials for Local Public Agencies

During the conversation, the relocation specialist 

learns that the Garcias would like the assistance 

of a moving company and want to know how the 

costs will be reimbursed. She explains that 

payment will be based on an estimate from the 

moving company. At the end of the meeting, the 

relocation agent documents the meeting in her 

relocation contact log. 

A few weeks later, the Garcias find a house they 

like for $110,000, $10,000 below the amount 

eligible for reimbursement. An agency’s relocation 

specialist conducts a walkthrough of the property 

and verifies that it meets all regulatory standards 

for decent, safe and sanitary housing. 

When it comes time to close on the new house, an 

agency’s relocation specialist accompanies the 

Garcias to the closing and provides a check for 

$110,000, $100,000 for just compensation and 

$10,000 for relocation housing payment. The 

invoices from the moving company arrive shortly 

after and are paid directly by the agency. 

Federal regulations require the maintenance of a 

contact log. A typical contact log includes dates of 

contacts, the names of individuals spoken with, 

what was discussed, and decisions made. 

Displaced persons may appeal any decision 

concerning an eligibility determination or payment 

amount. Your agency’s contact log supports your 

decisions and demonstrates compliance with the 

regulations.

Sponsoring agencies are 

responsible for coordinating the 

relocation of owners and their 

personal property from land 

purchased for right-of-way.

Because relocation assistance is a complex 

program area, those who provide relocation 

assistance must have the appropriate experience 

and knowledge. Those new to the process can find 

additional information in the State department of 

transportation’s, or State DOT’s, Right-of-Way 

Procedures Manual and in professional 

development courses. 

Your State DOT is responsible for the oversight of 

your agency’s program. 

The staff in the State DOT right-of-way office can 

assist your agency with meeting all Federal and 

State requirements when providing relocation 

assistance.
Federal-aid Essentials for Local Public Agencies

The content of this 

document is not a 

substitute for 

information obtained 

from State departments 

of transportation, 

appropriate FHWA 

Division Offices, and 

applicable laws. 

Scenarios have been 

simplified for emphasis 

and do not necessarily 

reflect the actual range of 

requirements applicable 

to the scenario or this 

topic. This document

was created under 

contract number

DTFH61-11-D-00025 by 

the Federal Highway 

Administration, U.S. 

Department of 

Transportation, and is 

offered to the public to 

heighten and focus 

awareness of Federal-aid 

requirements within the 

local public agencies 

community and 

reinforces the 

importance of these 

necessary policies, 

procedures, and 

practices.

This companion resource 

is the script content for 

the video production of 

the same name. 

Web Resources

• FHWA guidance and additional links for Federal-aid right-of-way program 

requirements

http://www.fhwa.dot.gov/realestate/lpaguide/index.htm

• A resource for property owners and occupants, transportation professionals, 

and highway right-of-way professionals

http://www.fhwa.dot.gov/realestate/index.htm

• Frequently asked questions about the Uniform Act

http://www.fhwa.dot.gov/realestate/ua/uafaqs.htm

• Rules and procedures for Federal-aid right-of-way acquisition and property 

management

http://www.access.gpo.gov/nara/cfr/waisidx_11/23cfr710_11.html

• Rules for procedures used to obtain right-of-way for federally assisted 

projects

http://www.ecfr.gov/cgi/t/text/textidx?c=ecfr&sid=3bdda26e1102fe42dd21611091c4a569&rgn=div5&view=tex

t&node=49:1.0.1.1.18&idno=49