§4622 — Title 42 The Public Health and Welfare | U.S. Code

Summary

When a government project forces a person, family, business, farm, or other property to move, the agency in charge must pay certain moving and restarting costs. These include fair moving expenses for people and property; direct losses to personal property from moving or closing a business, up to the cost it would take to relocate that property; costs to look for a replacement business or farm; and reasonable costs to reestablish a farm, nonprofit, or small business at a new site, up to $25,000 (as adjusted by regulation). A person displaced from a home can choose a scheduled expense and dislocation payment instead of the detailed payments above. A person displaced from a business or farm may choose a fixed payment instead of detailed payments if they meet the lead agency’s rules; that fixed amount must be at least $1,000 and no more than $40,000 (as adjusted), but rental-only businesses at the displaced home do not qualify. The law also covers cases when a project not meant to move utilities nevertheless requires a utility to be moved and the utility owner (who has a franchise or similar deal with the state or local government) faces unusual relocation costs. “Extraordinary cost” means a non-routine cost the owner does not normally budget for and that meets other agency rules. “Utility facility” means systems like electric, gas, water, steam, material transmission, transportation, communications (including cable), and related equipment or fixtures.

Title 42, §4622

The Public Health and Welfare — Source: USLM XML via OLRC

(a)Whenever a program or project to be undertaken by a displacing agency will result in the displacement of any person, the head of the displacing agency shall provide for the payment to the displaced person of—

(1)actual reasonable expenses in moving himself, his family, business, farm operation, or other personal property;

(2)actual direct losses of tangible personal property as a result of moving or discontinuing a business or farm operation, but not to exceed an amount equal to the reasonable expenses that would have been required to relocate such property, as determined by the head of the agency;

(3)actual reasonable expenses in searching for a replacement business or farm; and

(4)actual reasonable expenses necessary to reestablish a displaced farm, nonprofit organization, or small business at its new site, but not to exceed $25,000, as adjusted by regulation, in accordance with section 4633(d) of this title.

(b)Any displaced person eligible for payments under subsection (a) of this section who is displaced from a dwelling and who elects to accept the payments authorized by this subsection in lieu of the payments authorized by subsection (a) of this section may receive an expense and dislocation allowance, which shall be determined according to a schedule established by the head of the lead agency.

(c)Any displaced person eligible for payments under subsection (a) of this section who is displaced from the person’s place of business or farm operation and who is eligible under criteria established by the head of the lead agency may elect to accept the payment authorized by this subsection in lieu of the payment authorized by subsection (a) of this section. Such payment shall consist of a fixed payment in an amount to be determined according to criteria established by the head of the lead agency, except that such payment shall not be less than $1,000 nor more than $40,000, as adjusted by regulation, in accordance with section 4633(d) of this title. A person whose sole business at the displacement dwelling is the rental of such property to others shall not qualify for a payment under this subsection.

(d)(1)Except as otherwise provided by Federal law—

(A)if a program or project (i) which is undertaken by a displacing agency, and (ii) the purpose of which is not to relocate or reconstruct any utility facility, results in the relocation of a utility facility;

(B)if the owner of the utility facility which is being relocated under such program or project has entered into, with the State or local government on whose property, easement, or right-of-way such facility is located, a franchise or similar agreement with respect to the use of such property, easement, or right-of-way; and

(C)if the relocation of such facility results in such owner incurring an extraordinary cost in connection with such relocation;

(2)For purposes of this subsection, the term—

(A)“extraordinary cost in connection with a relocation” means any cost incurred by the owner of a utility facility in connection with relocation of such facility which is determined by the head of the displacing agency, under such regulations as the head of the lead agency shall issue—

(i)to be a non-routine relocation expense;

(ii)to be a cost such owner ordinarily does not include in its annual budget as an expense of operation; and

(iii)to meet such other requirements as the lead agency may prescribe in such regulations; and

(B)“utility facility” means—

(i)any electric, gas, water, steam power, or materials transmission or distribution system;

(ii)any transportation system;

(iii)any communications system (including cable television); and

(iv)any fixtures, equipment, or other property associated with the operation, maintenance, or repair of any such system;

Notes & Related Subsidiaries

Editorial Notes

Amendments

2012—Subsec. (a)(4). Pub. L. 112–141, § 1521(a)(1), substituted “$25,000, as adjusted by regulation, in accordance with section 4633(d) of this title” for “$10,000”. Subsec. (c). Pub. L. 112–141, § 1521(a)(2), substituted “$40,000, as adjusted by regulation, in accordance with section 4633(d) of this title” for “$20,000” in second sentence. 1987—Subsec. (a). Pub. L. 100–17, § 405(a)(1), inserted introductory provisions and struck out former introductory provisions which read as follows: “Whenever the acquisition of real property for a program or project undertaken by a Federal agency in any State will result in the displacement of any person on or after January 2, 1971, the head of such agency shall make a payment to any displaced person, upon proper application as approved by such agency head, for—”. Subsec. (a)(4). Pub. L. 100–17, § 405(a)(2)–(4), added par. (4). Subsec. (b). Pub. L. 100–17, § 405(b), substituted “an expense and dislocation allowance, which shall be determined according to a schedule established by the head of the lead agency” for “a moving expense allowance, determined according to a schedule established by the head of the Federal agency, not to exceed $300; and a dislocation allowance of $200”. Subsec. (c). Pub. L. 100–17, § 405(c), amended subsec. (c) generally. Prior to amendment, subsec. (c) read as follows: “Any displaced person eligible for payments under subsection (a) of this section who is displaced from his place of business or from his farm operation and who elects to accept the payment authorized by this subsection in lieu of the payment authorized by subsection (a) of this section, may receive a fixed payment in an amount equal to the average annual net earnings of the business or farm operation, except that such payment shall be not less than $2,500 nor more than $10,000. In the case of a business no payment shall be made under this subsection unless the head of the Federal agency is satisfied that the business (1) cannot be relocated without a substantial loss of its existing patronage, and (2) is not a part of a commercial enterprise having at least one other establishment not being acquired by the United States, which is engaged in the same or similar business. For purposes of this subsection, the term ‘average annual net earnings’ means one-half of any net earnings of the business or farm operation, before Federal, State, and local income taxes, during the two taxable years immediately preceding the taxable year in which such business or farm operation moves from the real property acquired for such project, or during such other period as the head of such agency determines to be more equitable for establishing such earnings, and includes any compensation paid by the business or farm operation to the owner, his spouse, or his dependents during such period.” Subsec. (d). Pub. L. 100–17, § 405(d), added subsec. (d).

Statutory Notes and Related Subsidiaries

Effective Date

of 2012 AmendmentAmendment by Pub. L. 112–141 effective 2 years after the date of enactment of Pub. L. 112–141, see section 1521(g) of Pub. L. 112–141, set out as a note under section 308 of Title 23, Highways.

Effective Date

of 1987 AmendmentAmendment by Pub. L. 100–17 effective on

Effective Date

provided in

Regulations

promulgated under section 4633 of this title (as amended by section 412 of Pub. L. 100–17), but not later than 2 years after Apr. 2, 1987, see section 418 of Pub. L. 100–17, set out as a note under section 4601 of this title.

§4622 Moving and related expenses

Summary

Title 42, §4622

Notes & Related Subsidiaries

Editorial Notes

Amendments

Statutory Notes and Related Subsidiaries

Effective Date

Effective Date

Effective Date

Regulations

Citations & Metadata