Muskie Congressional Record: Uniform Relocation Intro

CONGRESSIONAL RECORD -- SENATE

January 15, 1969

Page 772

S. 1 -- INTRODUCTION OF BILL

THE UNIFORM RELOCATION ASSISTANCE AND LAND ACQUISITION POLICIES ACT OF 1969

Mr. MUSKIE. Mr. President, on behalf of myself and Senators ANDERSON, BAKER, BAYH, BIBLE, BOGGS, BROOKE, CHURCH, COOPER, CURTIS, DODD, FULBRIGHT, HART, HATFIELD, INOUYE, JAVITS, JORDAN of Idaho, KENNEDY, MCGEE, MCINTYRE, MCGOVERN, METCALF, MILLER, MONDALE, MONTOYA, MOSS, MUNDT, NELSON, PELL, RANDOLPH, SPARKMAN, TYDINGS, WILLIAMS of New Jersey, YARBOROUGH, and YOUNG of Ohio, I introduce, for appropriate reference, a bill to provide for uniform and equitable treatment of persons displaced from their homes, businesses, or farms by Federal or federally assisted programs and to establish uniform and equitable land acquisition policies for Federal and federally assisted programs.

I ask unanimous consent that the text of the bill be printed in the RECORD following my remarks.

Mr. President, a major item of unfinished business which should be accorded highest priority in this new Congress is the passage of legislation assuring consistent and fair treatment of those who are uprooted from their homes and places of business by projects carried out by the Federal Government and by State and local governments with Federal assistance. That is the purpose of the bill I am introducing today.

This is an old problem that should weigh heavily on the conscience of all who are responsible for the setting of Federal policies. It has been a matter of great concern to Senators over the last decade.

Provisions for uniform relocation assistance and land acquisition policies were included in the Intergovernmental Cooperation Act of 1968, as it was introduced and as it was passed by the Senate. Thirty-one Senators joined me in cosponsoring that measure.

The hearings conducted by the Subcommittee on Intergovernmental Relations demonstrated in intensely human terms the shattering effects of the displacement of people from their homes, their neighborhoods, their businesses to make way for public projects. They brought out clearly the confusion and inequities caused by the diversity and inadequacy of the measures available to public agencies to reduce the hardships of displacement.

It was in the 86th Congress that the senior Senator from Alabama (Mr. SPARKMAN) introduced his bill for a comprehensive study of this whole problem by an independent commission. When the view prevailed that this study should be conducted within the legislative branch, Members of both Houses looked to the Select Subcommittee on Real Property Acquisition, established in 1962 by the House Committee on Public Works, to provide the basis for legislative action. That subcommittee rendered its monumental report in 1964. It showed conclusively and in detail the inequities and hardships suffered by hundreds of thousands of families, businessmen, and farmers for the sake of projects intended to benefit the public as a whole. In the following year I introduced a bill, S. 1681, to implement many of the recommendations of that report, and it was unanimously passed by the Senate, though it did not come to final action in the House.

The Intergovernmental Cooperation Act, in the form approved by the Senate, would have made a fair and reasonable measure of assistance available on a uniform basis to those displaced by any Federal program or by any State or local program which uses Federal financial assistance. It provided that assurances must be given in advance that suitable housing would be available for relocation of families and individuals. It directed that advisory assistance be given to all displaced persons in finding new homes or places of business. It established schedules of relocation payments geared to the actual cost of moving and economic adjustment. It provided that this assistance should be applied uniformly in all programs, under regulations issued by authority of the President.

Two other measures addressed themselves to this problem in the 90th Congress, the Federal Aid Highway Act of 1968 and the Housing and Urban Development Act of 1968.

The Highway Act, this year for the first time, included mandatory provision for relocation assistance to those displaced in the Federal aid highway system, closely comparable to and, in fact, borrowed from the provisions of the Intergovernmental Cooperation Act. That act became law on August 23, 1968. The Housing and Urban Development Act, which became law on August 1, 1968, added to the relocation assistance already available in housing and urban programs, bringing it close to the level that would have been established by the Intergovernmental Cooperation Act.

In these two acts provision has now been made for assistance to the great majority of those displaced by Federal or federally assisted programs.

There still was lacking, however, a system for applying relocation assistance uniformly in all programs, and this is what the Intergovernmental Cooperation Act would have accomplished. Unfortunately, because of a conflict of committee jurisdiction in the House of Representatives, it was not possible for the Senate and the House to agree on this portion of the bill. In the same manner, provisions establishing uniform policies to be followed in all Federal or federally assisted programs governing the acquisition of land for public projects were left from the bill.

This was a jurisdictional problem; there was no disagreement on the merits of these provisions.

In fact, the managers on the part of the House in reporting the conference report stated:

The conferees were in agreement on the desirability of the Congress enacting a uniform relocation policy to assist those displaced from their homes, farms, or businesses by Federal and federally assisted projects. They were also agreed upon the desirability of a uniform land acquisition policy in cases where Federal or federally assisted programs result in the taking of the land of private owners. They recommend to the appropriate committees of both Houses that action be taken on those objectives as soon as possible.

This unfinished business deserves to be given the highest priority in the 91st Congress. It is imperative that the Government of the United States deal consistently and fairly with all those whose property is taken for public projects and all those who are displaced from their homes and their businesses. When called upon to make this adjustment in their personal lives for the public good, such persons must be able to turn to the responsible agency, whether of a local government, the State, or the Federal Government, and be assured of the help they need to reestablish themselves in homes or places of business no less satisfactory than those they were forced to leave.

The bill which I am introducing today can serve as the means of discharging that responsibility. It is based on the provisions which were included in the Intergovernmental Cooperation Act of last year, and takes fully into account past congressional actions on relocation and land acquisition problems. It has benefitted by the consideration given to relocation and land acquisition measures not only by the Committee on Government Operations but also by the Committees on Public Works and Banking and Currency. It follows as closely as possible the substantive provisions of the Housing and Urban Development Act and the Federal Aid Highway Act, modifying them only as necessary to achieve a system of requirements and aids that can be applied uniformly in all Federal and federally assisted programs. It gives particular attention to the need for consistency and evenhandedness in dealings with property owners and displaced persons. It places responsibility for coordination of all Federal operations under the act where it belongs-in the Executive Office of the President. To reduce conflict and confusion in the federally aided programs, the bill provides that one State or local agency may make relocation payments and provide relocation assistance on behalf of all programs causing displacements in the locality.

The time has come to bring our studies of these problems to an early conclusion and proceed to final congressional action. I am hopeful that the Uniform Relocation Assistance and Land Acquisition Policies Act of 1969 will be approved in both Houses of Congress and sent to the President during the first session of the 91st Congress.

The PRESIDING OFFICER. The bill will be received and appropriately referred; and, without objection, the bill will be printed in the RECORD.

The bill (S. 1) to provide for uniform and equitable treatment of persons displaced from their homes, businesses, or farms by Federal and federally assisted programs and to establish uniform and equitable land acquisition policies for Federal and federally assisted programs, introduced by Mr. MUSKIE and other Senators, was received, read twice by its title, referred to the Committee on Government Operations, and ordered to be printed in the RECORD, as follows:

S. 1

A bill to provide for uniform and equitable treatment of persons displaced from their homes, businesses, or farms by Federal and federally assisted programs and to establish uniform and equitable land acquisition policies for Federal and federally assisted programs

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the "Uniform Relocation Assistance and Land Acquisition Policies Act of 1969".

TITLE I -- DEFINITIONS

As used in this Act

FEDERAL AGENCY

SEC. 101. The term "Federal agency" means any department, agency, or instrumentality in the executive branch of the Government, any wholly owned Government corporation (except the District of Columbia Redevelopment Land Agency), and the Architect of the Capitol.

STATE

SEC. 102. The term "State" means any of the several States of the United States, the District of Columbia, the Commonwealth of Puerto Rico, and territory or possession of the United States, and any political subdivision thereof.

STATE AGENCY

SEC. 103. The term "State agency" means the District of Columbia Redevelopment Land Agency and any public body, agency or instrumentality of a State or of a political subdivision of a State, or any public agency or instrumentality of two or more States or of two or more political subdivisions of a State or States.

HEAD OF AGENCY

SEC. 104. The term "head of a Federal agency" or "head of a State agency" includes a duly designated delegate of such agency head.

DISPLACED PERSON

SEC. 105. The term "displaced person" means

(1) any person who is the owner of a business which moves from real property or is discontinued on or after the effective date of this Act as a result of the acquisition or reasonable expectation of acquisition of such real property, in whole or in part, by a Federal or State agency;

(2) any person who is the operator of a farm operation which moves from real property or is discontinued on or after the effective date of this Act as a result of the acquisition or reasonable expectation of acquisition of such real property, in whole or in part, by a Federal or State agency;

(3) 'any individual who is the head of a family which moves from real property occupied as a dwelling on or after the effective date of this Act, as a result of the acquisition or reasonable expectation of acquisition of such real property, in whole or in part, by a Federal or State agency, or which moves from such dwelling as a result of the acquisition or reasonable expectation of acquisition by such Federal or State agency of other real property on which such family conducts a business or farm operation;

(4) any individual, not a member of a family, who moves from real property occupied as a dwelling on or after the effective date of this Act, as a result of the acquisition or reasonable expectation of acquisition of such real property, in whole or in part, by a Federal or State agency, or who moves from such dwelling as a result of the acquisition or reasonable expectation of acquisition by such Federal or State agency of other real property on which such individual conducts a business or farm operation; or

(5) any person, not described in paragraph (1), (2), (3), or (4) of this section, who moves his personal property from real property on or after the effective date of this Act as a result of the acquisition or reasonable expectation of acquisition of such real property, in whole or in part, by a Federal or State agency. Under this paragraph, the term "displaced person" shall not include the owner of personal property on the premises of another under a lease or licensing arrangement where such owner is required pursuant to such lease or license to move such property at his own expense.

BUSINESS

SEC. 106. The term "business" means any lawful activity conducted primarily (1) for the purchase and resale of products, commodities, or any other personal property; (2) for the manufacture, processing, or marketing of any such property; (3) for the cultivation, processing, and marketing of timber; or (4) for the sale of services to the public. Such term does not include the activity of an investor in acquiring or holding real property for resale for gain.

FARM OPERATION

SEC. 107. The term "farm operation" means any activity conducted solely or primarily for the production for sale or for home use, of one or more agricultural products or commodities other than timber, and customarily producing such products or commodities in sufficient quantity to be capable of contributing materially to the operator's support.

FARM OPERATOR

SEC. 108. The term "farm operator" means any owner, part owner, tenant, or sharecropper who operates a farm.

FAMILY

SEC. 109. The term "family" means two or more individuals living together in the same dwelling unit who are related to each other by blood, marriage, adoption, or guardianship.

DISPLACED

SEC. 110. The term "displaced", when used in relation to any person, means any person moved or to be moved from real property on or after the effective date of this Act as a result of the acquisition or reasonable expectation of acquisition of such property for a public improvement constructed or developed by or with funds provided in whole or in part by the Federal Government.

OWNER AND PERSON

SEC. 111. The terms "owner" and "person" include any individual, or any partnership, corporation, or association, whether organized for profit or not for profit.

REAL PROPERTY

SEC. 112. The term "real property" as used in this Act shall include land, and any interest in land, including but not limited to easements, rights-of-way, water rights, and mineral interests.

TITLE II -- UNIFORM RELOCATION ASSISTANCE DECLARATION OF POLICY

SEC. 201. The purpose of this title is to establish a uniform policy for the fair and equitable treatment of owners, tenants, and other persons displaced by the acquisition

of real property in Federal, and federally assisted programs to the end that such persons shall not suffer disproportionate injuries as a result of programs designed for the benefit of the public as a whole. Such a policy shall be as uniform as practicable as to (1) relocation payments, (2) advisory assistance, (3) assurance of availability of standard housing, and (4) Federal reimbursement for relocation payments under federally assisted programs.

PART A -- FEDERAL PROGRAMS RELOCATION PAYMENTS

SEC. 211. (a) If the head of any Federal agency acquires real property for public use in a State, he shall make fair and reasonable relocation payments to displaced persons in accordance with the regulations established by the President under section 241 of this Act.

(b) Any displaced person who moves from a dwelling who elects to accept the payments authorized by this subsection in lieu of the payments authorized by subsection (a) of this section may receive

(1) a moving expense allowance, determined according to a schedule established by the head of the Federal agency, not to exceed $200; and

(2) a dislocation allowance of $100.

(c) (1) In addition to amounts otherwise authorized by this section, the head of the Federal agency shall make a payment to any displaced person who moves or discontinues his business provided the average annual net earnings of the business are less than $10,000 per year. This payment shall be in an amount equal to the average annual net earnings of the business or $5,000, whichever is the lesser. In the case of a displaced person who is sixty-two years of age or over, this payment shall be increased by an amount equal to twice the average annual net earnings of the business or $5,000, whichever is the lesser.

(2) No payment shall be made under this subsection unless the head of the Federal agency is satisfied that the business

(A) cannot be relocated without a substantial loss of its existing patronage; and (B) is not part of a commercial enterprise having at least one other establishment, not being acquired, which is engaged in the same or similar business.

(3) For purposes of this subsection, the term "average annual net earnings" means one-half of any net earnings of the business, before Federal, State, and local income taxes, during the two taxable years immediately preceding the taxable year in which such business moves from the real property acquired, and includes any compensation paid by the business to the owner, his spouse, or his dependents during such two-year period.

(d) (1) In addition to amounts otherwise authorized by this section, the head of the Federal agency shall make a payment in the amount of $1,000 to any displaced person who moves or discontinues a farm operation, provided the average annual net earnings of the farm operation are less than $10,000 a year.

(2) In the case where the entire farm operation is not acquired by such Federal agency, the payment authorized by this subsection shall be made only if the head of such agency determines that the property not acquired is no longer a viable economic unit.

(3) For purposes of this subsection, the term "average annual net earnings" means one-half of any net earnings of the farm operation, before Federal, State, and local income taxes, during the two taxable years immediately preceding the taxable year in which such farm operation moves from the real property acquired, and includes any compensation paid by the farm operation to the owner, his spouse, or his dependents during such two-year period.

(e) (1) In addition to amounts otherwise authorized by this section, the head of the

Federal agency shall make a payment to the owner of real property which is improved by a single-, two-, or three-family dwelling actually owned and occupied by the owner for not less than one year prior to the initiation of negotiations for the acquisition of such property. Such payment, not to exceed $5,000, shall be the amount, if any, which, when added to the acquisition payment, equals the average price required for a decent, safe, and sanitary dwelling of modest standards adequate to accommodate the displaced owner, reasonably accessible to public services and places of employment. Such payment shall be made only to a displaced owner who purchases and occupies another dwelling within one year after the date on which he is required to move from the dwelling acquired for the project.

(2) The Secretary of Housing and Urban Development shall determine the prices prevailing in the locality for dwellings meeting the requirements of paragraph (1) of this subsection for all agencies making such payments.

(f) (1) In addition to amounts otherwise authorized by this section, the head of the Federal agency shall make a payment to any individual or family displaced from a dwelling and not eligible to receive a payment under subsection (e) (1) of this section, provided such dwelling was actually and lawfully occupied by such individual or family for not less than ninety days prior to the initiation of negotiations for acquisition of such property. The additional payment, not to exceed $1,500, shall be an amount which, when added to 20 per centum of the income of the displaced individual or family during the two-year period immediately preceding displacement, equals the average rental required for a two-year period for a decent, safe, and sanitary dwelling of modest standards adequate in the size to accommodate the displaced individual or family in areas not generally less desirable in regard to public utilities and public and commercial facilities. Such payment shall be made only to an individual or family who is unable to secure a dwelling in a low-rent housing project assisted under the United States Housing Act of I937, or under a State or local program found by the Secretary of Housing and Urban Development to have the same general purposes as the Federal program under such Act, or a dwelling unit assisted under section 101 of the Housing and Urban Development Act of 1985.

(2) The Secretary of Housing and Urban Development shall determine the amount of assistance under this subsection according to family size, family or individual income, average rents required, or similar considerstions for all agencies making such payments.

(g) No payment received under this section shall be considered as income for the purposes of the Internal Revenue Code of 1954, or for the purpose of determining the eligibility or the extent of eligibility of any person for assistance under the Social Security Act or any other Federal law.

RELOCATION ASSISTANCE PROGRAMS

SEC. 212. (a) If the head of any Federal agency acquires real property for public use in a State, he shall provide a relocation assistance program for displaced persons which shall offer the services described in subsection (c) of this section. If the head of such agency determines that persons occupying property immediately adjacent to the real property acquired are caused substantial economic injury because of the acquisition of real property for public use, he may offer such persons relocation services under such program.

(b) Federal agencies administering programs which may be of assistance to displaced persons covered by this Act shall cooperate to the maximum extent feasible with the Federal or State agency causing the displacement to assure that such displaced per

sons receive the maximum assistance available to them.

(c) Each relocation assistance program required by subsection (a) of this section shall include, to the maximum extent practicable, such measures, facilities, or services as may be necessary or appropriate in order

(1) to determine the needs, if any, of displaced families, individuals, business concerns, and farm operators for relocation assistance;

(2) to assure that, within a reasonable period of time, prior to displacement there will be available in areas not generally less desirable in regard to public utilities and public and commercial facilities and at rents or prices within the financial means of the families and individuals displaced, decent, safe, and sanitary dwellings, equal in number to the number of, and available to, such displaced families and individuals and reasonably accessible to their places of employment except that the President may prescribe by regulation situations when such assurances may be waived;

(3) to assist owners of displaced businesses and displaced farm operators in obtaining and becoming established in suitable locations;

(4) to supply information concerning the Federal Housing Administration home acquisition program of the National Housing Act, the small business disaster loan program under section 7(b) (3) of the Small Business Act, and other State or Federal programs offering assistance to displaced persons.

(5) to assist in minimizing hardships to displaced persons in adjusting to relocation; and

(6) to assure, to the greatest extent practicable, the coordination of relocation activities with other project activities and other planned or proposed governmental actions in the community or nearby areas which may affect the carrying out of the relocation program.

STATES FURNISHING REAL PROPERTY INCIDENT TO FEDERAL ASSISTANCE

Sec. 213. Whenever real property is acquired by a State agency and furnished as a required contribution incident to a Federal project to improve a locality, the Federal agency may not accept such property unless the acquiring State agency has made relocation payments, provided relocation assistance, and provided assurance of availability of housing as required in the case of acquisitions of real property by a Federal agency. The State agency shall bear the costs of relocation payments and assistance as a part of the real property acquisition cost, except that the Federal agency having authority over the project shall contribute the first $25,000 of the cost of providing such payments and assistance to any person displaced prior to July 1, 1972.

FUND AVAILABILITY

SEC. 215. Funds appropriated or otherwise available to any Federal agency for the acquisition of real property or any interest therein shall be available also for obligation and expenditure to carry out the provisions of this title.

PART B. -- FEDERALLY ASSISTED PROGRAMS RELOCATION PAYMENTS AND ASSISTANCE; ASSURANCE OF AVAILABILITY OF HOUSING

SEC. 231. (a) Notwithstanding any other provision of law, on and after the effective date of this section, no grant to, or contract or agreement with a State agency, under which Federal financial assistance will be available to pay all or part of the cost of (1) the acquisition of real property, (2) a public improvement for which real property is to be acquired, or (3) a program which will otherwise result in the displacement of persons may be approved by the head of the Federal agency responsible for the administration of such Federal financial assistance unless Such State agency has entered into an agreement with the head of such Federal agency to provide to displaced persons for moves from such real property

(1) fair and reasonable relocation payments in the same amounts and under the same terms and conditions as are required to be made by a Federal agency by section 211(a) of this title and in accordance with regulations established by the President under section 241 of this title;

(2) relocation payments in the same amounts and under the same terms and conditions as are required to be made by a Federal agency by sections 211 (b), (c), and (d) (2) of this title;

(3) relocation assistance programs offering the services described in section 212 (c) of this title;

(4) a feasible method for the temporary relocation of families and individuals displaced from the property acquired, and assurance that within a reasonable period of time prior to displacement, there will be available, to the extent that can reasonably be accomplished, in areas not generally less desirable in regard to public utilities and public and commercial facilities and at rents or prices within the financial means of the families and individuals displaced, decent safe, and sanitary dwellings equal in number to the number of and available to such displaced families and individuals and reasonably accessible to their places of employment; and

(5) a payment for owner-Occupants under the same terms and conditions as are required to be made by Federal agencies by subsection 211 (d) (I) of this Act, except that no such payment shall be required or included as a project cost under subsection 231(c) if the owner-occupant receives a payment required by the State law of eminent domain which is determined by the head of the Federal agency to have substantially the same purpose and effect as subsection 211 (d) (1) and to be part of the cost of the project for which Federal financial assistance is available.

(b) As a condition to further assistance to a State agency for (1) part or all of the cost of real property acquisition, (2) part or all of the cost of a public improvement for which real property is to be acquired, or (3) a program which will otherwise result in the displacement of persons, the head of the Federal agency shall require, within a reasonable time prior to actual displacement, satisfactory assurance by the State agency that decent, safe, and sanitary dwellings as required by subsection 231 (a) (4) are available for the relocation of each such individual or family.

(c) The cost to a State agency of providing the payments and services described in subsection (a) of this section may be included as part of the cost of the project for which Federal financial assistance is available to such State agency, and such State agency shall be eligible for Federal financial assistance with respect to such payments and services in the same manner and to the same extent as with respect to other project costs. Notwithstanding any other law, the Federal agency providing such assistance shall contribute the first $25,000 of the cost of providing such payments to any person displaced prior to July 1, 1972. Any funds appropriated or otherwise available to a Federal agency for assistance to State agencies for such projects shall be available also for obligation and expenditure to carry out the provisions of this subsection. No State agency need agree to make any relocation payment in excess of $25,000 to any displaced person in order to receive the assistance authorized by this subsection.

(d) In order to prevent unnecessary expenses and duplication of functions, and to promote uniform and effective administration of relocation assistance programs for displaced persons, any agreement by a State agency under subsection (a) of this section shall provide that such agency may make relocation payments or provide relocation

assistance or otherwise carry out its functions under this title by utilizing the facilities, personnel, and services of any other State agency having an established organization for conducting relocation assistance programs.

(e) Any grant to, or contract or agreement with a State agency executed before the effective date of this section, under which Federal financial assistance is available to pay the cost in connection with the acquisition of real property, or of the improvement for which such property is acquired, may be amended to include the terms and conditions required by subsection (a) of this section.

(f) If the head of a Federal agency determines that it is necessary for the expeditious completion of a public improvement for which a State agency has entered into agreement, as described in subsection (a) of this section, to make relocation payments to displaced persons, or to provide the funds necessary to meet the requirements of section 321(b) (1) of this Act, he may advance to the State agency the Federal share of such relocation payments and an amount necessary to make the required payments under section 321(b) (1). Upon determination by the head of such Federal agency that any part of the funds advanced to a State agency under this subsection are no longer required, the amount which he determines not to be required shall be repaid upon demand. Any sum advanced and not repaid on demand shall be deducted from sums otherwise available to such State agency from Federal sources.

DISPLACEMENT BY CERTAIN PROGRAMS RECEIVING ASSISTANCE UNDER TITLE I OF THE HOUSING ACT OF 1949, AS AMENDED

SEC. 232. A person who moves or discontinues his business, or moves other personal property, or moves from his dwelling on or after the effective date of this Act, as a direct result of any project or program which receives Federal financial assistance under title I of the Housing Act of 1949, as amended, or the Demonstration Cities and Metropolitan Development Act o1 1966 shall, for the purposes of this title, be deemed to be a displaced person.

PART C -- AUTHORITY OF THE PRESIDENT SEC.

241. (a) To carry out the provisions of this title, the President is authorized to make such rules and regulations as he may determine to be necessary to assure

(1) that relocation payments authorized by section 211 shall be fair and reasonable and as uniform as practicable;

(2) that a displaced person entitled to a relocation payment under section 211(a) shall be reimbursed for or paid

(A) his reasonable and necessary expenses in moving himself, his family, his business, farm operation, or other personal property, and for his reasonable and necessary expenses in searching for a replacement property;

(B) if he disposes of personal property on moving or discontinuing his business or farm operation at a price which is less than its replacement value, the amount of the difference between such price and such value; and

(3) that a displaced person who makes proper application for a relocation payment authorized for such person by this title shall be paid promptly after a move or, in certain hardship cases, the President may, by regulation, authorize advance payment of certain relocation costs;

(4) that any person aggrieved by a determination as to eligibility for a relocation payment authorized by this title, or the amount of a payment, may have his application reviewed by the head of the agency; and

(5) that a displaced person shall have a reasonable time in which to apply for a relocation payment authorized by this title.

(b) The President may, by regulation, establish a limitation on the amount of a relocation payment authorized by section 211 (a) with due consideration for the declaration of policy of this title and the provisions of subsection (a) of this section and section 231 (c) .

(c) In order to prevent unnecessary expense and duplication of functions, and to promote uniform and effective administration of relocation assistance programs for displaced persons, the President is authorized to require that any Federal agency make relocation payments or provide relocation services, or otherwise carry out its functions under this title, by utilizing the facilities, personnel, and services of any other Federal agency, or by entering into appropriate contracts or agreements with any State agency having an established organization for conducting relocation assistance programs.

(d) The President may make such other rules and regulations consistent with the provisions of this title as he deems necessary or appropriate to carry out this title.

PART D -- GENERAL PROVISIONS SEVERABILITY

SEC. 251. If any provision of this title, or the application thereof to any person or circumstance is held invalid, the remainder of this title and the application of the provision to other persons or circumstances shall not be affected thereby.

REPEALED

SEC. 252. (a) The following laws and parts of laws are hereby repealed:

(1) the act entitled "An Act to authorize the Secretary of the Interior to reimburse owners of lands required for development under his jurisdiction for their moving expenses, and for other purposes," approved May 29, 1958 (43 U.S.C. 1231-1234);

(2) paragraph 14 of section 203(b) of the National Aeronautics and Space Act of 1958 (42 U.S.C. 2473);

(3) section 2680 of title 10, United States Code;

(4) section 133 of title 23, United States Code;

(5) section 7(b) of the Urban Mass Transportation Act of 1964 (49 U.S.C. 1606(b)); (6) section 105(c) of the Housing Act of 1949 (42 U.S.C.1455(c));

(7) section 114 of the Housing Act of 1949 (42 U.S.C. 1465);

(8) paragraph (7) (b) (iii) of section 15 of the United States Housing Act of I937 (42 U.S.C. 1415 (7) (b) (iii));

(9) paragraph (8) of section 15 of the United States Housing Act of 1937 (42 U.S.C. 1415 (8)), except the first sentence of such paragraph;

(10) section 404 of the Housing and Urban Development Act of 1965 (42 U.S.C. 3074); (11) section 107 of the Demonstration Cities and Metropolitan Development Act of 1966 (42 U.S.C. 3307);

(12) chapter 5 of title 23, United States Code; and

(13) sections 32 and 33 of the Federal Aid Highway Act of 1968 (Public Law 90-495). (b) Any rights or liabilities now existing under prior Acts or portions thereof Shall not be affected by the repeal of such prior Acts or portions thereof under subsection (a) of this section.

EFFECTIVE DATE

SEC. 253. This title and the amendments made by this title shall become effective one hundred eighty days after the date of its enactment, except that sections 231, 232, and 252(a) (4). (5), (6), (7), (8), (9), and (10) shall take effect on July 1, 1971, except that, commencing one hundred eighty days after enactment, the provisions of sections 231 and 232 shall be applicable with respect to any grant to or contract or agreement with a State agency to the extent it is able under its laws to comply with such sections and the provisions of Federal law governing relocation payments and assistance otherwise applicable to grants to or contracts or agreements with such agency shall be superseded by this title.

TITLE III -- UNIFORM LAND ACQUISITION POLICY PART A-FEDERAL PROGRAMS UNIFORM POLICY ON LAND ACQUISITION PRACTICES

SEC. 301. (a) In order to encourage the acquisition of real property by amicable agreements with owners, to relieve congestion in the courts, to assure consistent treatment for owners in the many Federal programs, and to promote public confidence in Federal land acquisition practices, heads of Federal agencies shall be governed by the following policies

(1) The head of a Federal agency shall conduct transactions for the acquisition of real property in such a manner as to assure to the extent possible that persons whose property is acquired shall not be worse off economically than they were before the property was acquired.

(2) The head of a Federal agency shall make every reasonable effort to acquire real property by negotiated purchase.

(3) Real property shall be appraised before the initiation of negotiations, and the owner or his designated representative shall be given an opportunity to accompany the appraiser during his inspection of the property.

(4) Before the initiation of negotiations for real property, the head of the Federal agency concerned shall establish an amount which he believes to be just compensation, such amount not to be less than the appraised value of the property as approved by such agency head, and shall make a prompt offer to acquire the property for the full amount so established. Any decrease in the value of real property prior to the date of valuation cause by the public improvement for which such property is acquired, or by the likelihood that the property would be acquired for the proposed public improvement, other than that due to physical deterioration within the reasonable control of the owner, will be disregarded in determining the compensation for the property.

(5) No owner shall be required to surrender possession of real property before the head of the Federal agency concerned pays the agreed purchase price, or deposits with the court in accordance with section 1 of the Act of February 26, 1931 (46 Stat. 1421; 40 U.S.C. 258a), for the benefit of the owner an amount not less than the appraised fair value of such property as determined by such agency head, or the amount of the award of compensation in the condemnation proceeding for such property.

(6) The construction or development of public improvements shall be so scheduled that, to the greatest extent practicable, no person lawfully occupying the real property shall be required to move from his home, farm, or business location without at least ninety days' written notice from the head of the Federal agency concerned.

(7) If the head of the Federal agency concerned does not require a building, structure, or other improvement acquired as a part of the real property, he shall where practicable offer to permit its owner to remove it. As a condition of removal, an appropriate agreement shall be required whereby the fair value of such building, structure, or improvement for removal from the real property, as determined by such agency head, will be deducted from the compensation otherwise to be paid for the real property, however such compensation may be determined.

(8) If the head of a Federal agency permits an owner or tenant to occupy the real property acquired on a rental basis for a short term or for a period subject to termination by the Government on short notice, the amount of rent required shall not exceed the fair rental value of the property to a short term occupier.

(9) In no event shall the head of a Federal agency either advance the time of condemnation, or defer the condemnation and the deposit of funds in court for the use of the owner, in order to compel an agreement on the price to be paid for the property. If an agency head cannot reach an agreement with the owner, after negotiations have continued for a reasonable time, he shall promptly institute condemnation proceedings and, at the Same time or as soon thereafter as practicable, file a declaration of taking and deposit funds with the court in accordance with the Act of February 26, 1931 (46 Stat. 142I; 40 U.S.C. 258a), if possession is required prior to the entry of the judgment in the condemnation proceeding.

(10) If an interest in real property is to be acquired by exercise of the power of eminent domain, the head of the Federal agency concerned shall, except as to property to be acquired under section 25 of the Tennessee Valley Authority Act of 1933 (48 Stat. 70, as amended; 16 U.S.C. 831x), require the Attorney General to institute formal condemnation proceedings. No Federal agency head shall intentionally make it necessary for an owner to institute legal proceedings to prove the fact of the taking of his property.

(I1) If only a portion of a parcel of real property is to be acquired, thereby leaving the unacquired portion without economic use, the head of the Federal agency concerned shall offer to acquire the entire property.

(12) In determining the boundaries of a proposed public improvement, the head of the Federal agency concerned should take into account human considerations, including the economic and social effects of such determination on the owners and tenants of real property in the area, in addition to engineering and other factors.

(b) The provisions of this section shall not affect the validity of any property acquisitions by purchase or condemnation.

BUILDINGS, STRUCTURES, AND IMPROVEMENTS

SEC. 302. (a) Notwithstanding any other provisions of law, if the head of a Federal agency acquires land or any interest in land for public use in a State, he shall acquire a like interest, or greater interest, in all buildings, structures, or other improvements on the land so acquired which are required to be removed from the land or which, in the opinion of such agency head, will be adversely affected by such public use, if such improvements are not required to be removed.

(b) As used in this section, the term "real property" means land, or any interest in land, and (1) any building, structure, or other improvement imbedded in or affixed to land, and any article so affixed or attached to such building, structure, or improvement as to be an essential and integral part thereof; (2) any article affixed or attached to such real property in such manner that it cannot be removed without material injury to itself or the real property; and (3) any article so designed, constructed, or specially adapted for the purpose for which such real property is used that (A) it is an essential accessory or part of such real property, (B) it is not capable of use elsewhere, and (C) it would lose substantially all its value if removed from the real property.

(c) (1) For the purpose of determining the extent of the acquisition of real property and the valuation thereof, no building, structure, or other improvement shall be deemed to be other than a part of the real property solely because of the right or obligation of a tenant, as against the owner of any other interest in the real property, to remove such building, structure, or improvement at the expiration of his term, and the head of the Federal agency shall pay to the tenant the fair value of the building, structure, or improvement, which fair value shall be determined by such agency head as the greatest of (A) the contributive value of the improvement to the present use of the entirety, (B) the current cost of replacement less depreciation of the improvement, or (C) the value of the improvement for removal from the property.

(2) Payment under this subsection shall not result in duplication of any payments otherwise authorized by law. No such payment shall be made unless the fee owner of the land involved disclaims any interest in the improvements of the lessee. In consideration for any such payment, the lessee shall assign, transfer and release to the United States all his rights, title, and interest in and to such improvements. No provision of this subsection shall be construed to deprive the lessee of his right to reject the payments hereunder and to obtain payment for his property interests of just compensation as otherwise defined by law.

EXPENSES INCIDENTAL TO TRANSFER OF TITLE TO UNITED STATES

SEC. 303. The head of a Federal agency as soon as practicable after the date of payment of the purchase price or the date of deposit of funds to satisfy the award of compensation in a condemnation proceeding to acquire real property, whichever is the earlier, shall reimburse the owner for necessary and reasonable expenses incurred for

(1) recording fees, transfer taxes, and similar expenses incidental to conveying such real property;

(2) penalty costs for prepayment of any mortgage entered into in good faith encumbering such real property if such mortgage is on record or has been filed for record under applicable State law on the date the official announcement of the project is made by the authorized Federal agency; and

(3) the pro rata portion of real property taxes allocable to a period subsequent to the date of vesting title in the United States or the effective date of a court order of possession, whichever is the earlier.

PART B -- FEDERALLY ASSISTED PROGRAMS REQUIREMENTS FOR APPROVAL OF CONTRACTS OR AGREEMENTS FOR FEDERAL FINANCIAL ASSISTANCE

SEC. 321. (a) Notwithstanding any other provision of law, on and after the date of enactment of this section no grant to or contract or agreement with a State agency, under which Federal financial assistance will be available to pay in whole or in part the cost of the acquisition of real property or of a public improvement for which real property is to be acquired, may be approved by the head of the Federal agency responsible for the administration of such Federal financial assistance unless such State agency has entered into an agreement which shall provide

(1) that every reasonable effort shall be made to acquire the real property by negotiated purchase;

(2) that the construction or development of the public improvement shall be so scheduled that, to the greatest extent practicable, no person lawfully occupying the real property shall be required to move from his home, farm, or business location without at least ninety days' written notice from such State agency; and

(3) that it shall be the policy of the head of the State agency, before initiating negotiations for real property, to establish an amount which he believes to be just compensation, under the laws of the State, such amount not to be less than the appraised value of the property as approved by such State agency head, and to make a prompt offer to acquire the property for the full amount so established.

(b) Notwithstanding any other provision of law, no grant to, or contract or agreement with a State agency, under which Federal financial assistance will be available to pay in whole or in part the cost of the acquisition of real property, or of a public improvement for which real property is to be acquired, may be approved by the head of the Federal agency responsible for the administration of such Federal financial assistance, unless such State agency has entered into the agreements described in subsection (a) of this section and has also agreed=

(1) that no owner will be required to surrender possession of real property before the head of the State agency (A) pays the agreed purchase price, (B) makes available to the owner, by court deposit or otherwise, an amount not less than the appraised fair value of such property, as approved by such State agency head, without prejudice to the right of the owner to contest the amount of compensation due for the property, or (C) deposits or pays the final award of compensation in the condemnation proceeding for such property;

(2) that the head of the State agency, as soon as practicable after the date of payment of the purchase price or the date of deposit of funds to satisfy the award of compensation in a condemnation proceeding to acquire real property, whichever is the earlier, shall reimburse the owner for necessary and reasonable expenses incurred for

(A) recording fees, transfer taxes, and similar expenses incidental to conveying such real property;

(B) penalty costs for prepayment of any mortgage entered into in good faith encumbering such real property if such mortgage is on record or has been filed for record under applicable State law on the date the official announcement of the project is made by the State. agency; and

(C) the pro rata portion of real property taxes allocable to a period subsequent to the date of vesting title in the State or the effective date of a court order of possession, whichever is the earlier;

(3) that any decrease in the value of real property prior to the date of valuation caused by the public improvement for which such property is acquired, or by the likelihood that the property would be acquired for the proposed public improvements, other than that due to physical deterioration within the reasonable control of the owner, will be disregarded in determining the compensation for the property; and

(4) that for the purpose of determining the extent of the acquisition of real property and the valuation thereof, no building, structure, or other improvement shall be deemed to be other than a part of the real property solely because of the right or obligation of a tenant, as against the owner of any other interest in the real property, to remove such building, structure, or improvement at the expiration of his term, and the head of the State agency shall pay to the tenant the fair value of the building, structure, or improvement which fair value shall be determined by such agency head as the greatest of (1) the contributive value of the improvement to the present use of the entirety, (2) the current cost of reproduction less depreciation of the improvement, or (3) the value of the improvement for removal from the property, except that (1) payment hereunder will not result in duplication of any payments otherwise authorized by law; (2) the fee owner of the land involved disclaims any interest in the improvements of the lessee; and (3) the lessee in consideration for such payment shall assign, transfer, and release to the State agency all his right, title, and interest in and to such improvements. No provision of this subsection shall be construed to deprive the lessee of his right to reject the payments hereunder and to obtain payment

for his property interests of just compensation as otherwise defined by law.

PROVISIONS REPEALED

SEC. 322. Sections 40I, 402, and 403 of the Housing and Urban Development Act of 1965 (42 U.S.C. 3071-3073) and Section 35 of the Federal Aid Highway Act of 1968 (Public Law 90-495) are hereby repealed.

EFFECTIVE DATE

SEC. 323. This title shall become effective one hundred eighty days after enactment, except that sections 321(b) and 322 shall take effect on July 1, 1971, except that commencing one hundred eighty days after enactment, the provisions of section 321(b) shall be applicable with respect to any grant to or contract or agreement with a State agency to the extent it is able under its laws to comply with such sections and the provisions of Federal law governing acquisition of real property otherwise applicable to grants to or contracts or agreements with such agency shall be superseded by this title.