>>Videohost: If a local public agency needs to acquire vacant property, or property improved with a home or
business to construct a Federal-aid project, the local public agency must follow a process for acquiring that property.
Federal right-of-way requirements apply if Federal dollars are used to fund any phase of the project.
Failing to meet the right-of-way requirements can jeopardize your project from being eligible to receive Federal funds.
For this reason, it’s important to know the Federal requirements and when they apply.
When an agency acquires property for a federal-aid project, right-of-way requirements are in place
to provide benefits, protection, and payment of just compensation. When a project displaces an individual, family, business, farm or
non-profit organization, additional services and payments are required.
The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, otherwise known as the Uniform Act, is the
primary, but not exclusive, law for right-of-way related acquisition and relocation activities on Federal-aid projects.
The Uniform Act establishes the requirements and procedures that you, as a local public agency, must follow when Federal
dollars are used to fund a project.
>>Female narrator: The Uniform Act consists of three titles or parts. Title I, the General Provisions, contains definitions
and eligibility criteria for displaced persons. Title II addresses relocation assistance.
This part contains housing payments for owners and tenants and assures that displaced persons
are provided with comparable replacement housing prior to displacement.
This section also covers moving and related expenses, as well as relocation planning and advisory services.
Title III establishes the policy and requirements for acquiring property on Federal-aid projects.
In this section, standards are set for appraisals, offers, negotiations, payment, possession, settlement,
and other equitable considerations.
The Uniform Act and right-of-way requirements apply any time an agency seeks to acquire real property to
make way for the construction of a Federal-aid project.
Real property is a term that is used to describe land or improvements to land, fee interests, easements,
air or access rights, or the rights to control the use of land, such as leases.
For example, an agency might ask a property owner to convey a temporary or permanent easement in order to
construct a project.
When agencies acquire temporary or permanent easements from a property owner, that agency is acquiring real property
interests, which is considered right-of-way. Because this is a Federal-aid project, the Uniform Act
and right-of-way requirements would apply.
In order to comply with right-of-way related requirements on Federal-aid projects, you must understand when to
follow the requirements. The Uniform Act requirements apply:
Any time real property or interests in real property is required for a project, and the agency chooses to use
Federal-aid funds in any phase of the project.
Any time people or businesses are displaced by a project, and the agency chooses to use Federal funds for any phase
of that project. These requirements must not be overlooked in a situation where a project does not use federal funding until
the construction phase. For example, many agencies use local money to fund the design and right-of-way phases of a project.
Upon reaching the construction phase of the project, a request for Federal assistance is made.
The project would be eligible for Federal funds provided the agency complied with the requirements of the Uniform Act
during the right-of-way phase of the project.
Now that we understand when right-of-way requirements are applicable, let’s review the right-of-way procedures
that an agency needs to follow.
These procedures ultimately determine just compensation. If it is determined that real property is needed to construct
the project, the appropriate right-of-way procedures should be followed.
Here is an overview of the primary steps an agency must follow to meet the requirements of the Uniform Act:
First, you must determine the fair market value of the property being acquired.
Next, you must offer just compensation and negotiate the acquisition of the property or property interests.
Finally, after acquiring the property, the agency must provide relocation assistance to those who are displaced.
If all attempts to negotiate an agreement to acquire property fail, it may be necessary for your agency to
exercise the power of eminent domain. Property acquired through eminent domain means the
government uses its power to acquire private property for a public use.
Each State has specific laws governing condemnation procedures. Make sure you are familiar with your State’s requirements.
The Uniform Act is the primary law for right-of-way related acquisition and relocation activities on federally assisted projects.
Right-of-way requirements are applicable if an agency chooses to accept Federal funds for any phase of a project that acquires
real property or displaces people or businesses. State departments of transportation play a vital role in the
right-of-way process on Federal-aid projects, and they are available to provide assistance when you have questions
concerning right-of-way and the Uniform Act.