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1 Welcome to the International Right of Way Associations Course 207 Practical Negotiations for United States Federal and Federally Assisted Projects 207-PT Revision 2 10.18.10.USA

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2 Introductions Who we are What we do Where we do it How long weve been doing it Our goals for the course...

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3 Objectives At the conclusion of the two days, you will be able to... Demonstrate a basic knowledge of the requirements that apply to negotiators for Federal and federally assisted projects under the Uniform Act. Develop an understanding of negotiating styles. Use practical approaches and tips to improve right of way acquisition settlement rates.

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4 Housekeeping

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5 Schedule Day One (1) 8:00 - 8:30Introductions, Etc. 8:30 - 9:30Federal Laws and Regulations 9:30 - 11:15Acquisition Policies (General) 11:15 - 12:00Acquisition Policies (Negotiations) 1:00 - 3:00Acquisition Policies (Negotiations) 3:00 - 4:00More Negotiation Processes 4:00 - 4:30Recap Day One

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6 Schedule Day Two (2) 8:00 - 8:30Recap 8:30 - 9:00Condemnation 9:15 - 10:15Some Common Issues 10:30 - 11:45 Conflict Management Styles 12:34 - 2:15Characteristics of the Successful Negotiator 2:30 - 3:30Case Study 3:30 4:00Summary and Review 4:00 5:00 Exam

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7 Acquisition Acquisition is the process of acquiring real property and includes appraisal, appraisal review, establishing just compensation, negotiation, administrative and legal settlements and condemnation.

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8 Laws and Regulations Uniform Relocation Assistance and Real Property Acquisition Act of 1970, as amended Title 49 (Transportation) CRF Part 24 Title 23 (Highways) CFR Part 710

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9 The Uniform Act Title I General Provisions Title II Uniform Relocation Assistance Title III Uniform Real Property Acquisition Policy

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10 The Uniform Act Owners of real property to be acquired for federal and federally assisted projects are treated fairly and consistently, encourage and expedite acquisition by agreement, minimize litigation, relieve court congestion, promote public confidence in federal and federally assisted land acquisition programs. People displaced are treated fairly, consistently, and equitably. Agencies implement the Uniform Act regulations efficiently and cost effectively..

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11 Basic Policies (1) Expeditious acquisition Notice to owner Appraisal and invitation to the owner Appraisal waiver Establishment and offer of just compensation Summary statement Basic negotiation procedures

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12 Basic Policies (2) Updating offer of just compensation Coercive action Administrative settlement Payment before taking possession Uneconomic remnant Inverse condemnation Fair rental Conflict of interest

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13 Basic Policies (3) Expeditious acquisition Notice to owner Appraisal and invitation to the owner Appraisal waiver Establishment and offer of just compensation Summary statement Basic negotiation procedures

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14 Basic Policies (4) Updating offer of just compensation Coercive action Settlements Payment before taking possession Uneconomic remnant Inverse condemnation Fair rental Conflict of interest

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15 Settlements Original just compensation offer Updated just compensation offer Administrative settlement Alternate dispute resolution (Mediation) Legal settlement Court settlement

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16 Basic Policies (5) Updating offer of just compensation Coercive action Settlements Payment before taking possession Uneconomic remnant Inverse condemnation Fair rental Conflict of interest

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17 General Requirements (1) Adequacy of real property interest Less than full fee interest Influence of the project on just compensation Appraisal and just compensation for a tenant owned improvement

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18 General Requirements (2) Donations Owner retention of improvements Expenses incidental to transfer Certain litigation expenses Right to occupy Hardship and protective buying Recordkeeping and reports

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19 Reports

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20 Day One Recap Demonstrate a basic knowledge of the requirements that apply to negotiators for Federal and federally assisted projects under the Uniform Act

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21 Day Two Demonstrate a basic knowledge of the requirements that apply to negotiators for Federal and federally assisted projects under the Uniform Act. Develop an understanding of individual negotiating styles. Use practical approaches and tips to improve right of way acquisition settlement rates.

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22 Eminent Domain and Condemnation Eminent domain is the right of the government to take private property for public use on the payment of just compensation. Condemnation is the process by which the power of eminent domain is implemented.

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23 Some Common Issues Appraisals Attorneys Authority Compensation Condemnation Property Owners

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24 Appraisal Issues (1) 1. Do your agencies provide the owner with a copy of the appraisal report? 2. Do your agencies provide the owner with a copy of the waiver valuation? 3. If your agency provides a copy of the appraisal what does your agency do if the reviewed amount is less than the appraised amount?

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25 Appraisal Issues (2) 4. If your agency does not provide a copy of the appraisal report what does your agency do if the owner asks for a copy? 5. Do you think that not providing the appraisal report might affect the trust relationship with the property owner?

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26 Attorney Issues (1) 1. How do you answer the owners question: Do I need an attorney? 2. What do you do if the owner names his/her attorney and you know that the attorney is ineffective? 3. What do you do if the owners attorney is not serving the client well?

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27 Attorney Issues (2) 4. What do you when the owner, who is represented by an attorney, contacts you with just one question or for a clarification of something his/her attorney said? 5. Are you less or more apt to increase an offer if an attorney is involved? Why?

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28 Authority Issues (1) 1. How much authority do you have to settle above the initial offer? 2. What do you do when the owner wants to negotiate with your supervisor? 3. Is there a point in the acquisition process when your authority passes to another person?

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29 Authority Issues (2) 4. Are there times when you decide to pass the problem to your supervisor? 5. Do you ever use the ploy I need to talk to my supervisor about this settlement. (When you dont)?

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30 Compensation Issues (1) 1. What do you do if the owner asks for more money than you think is warranted; but not too, too much more? 2. What do you do if you think the compensation to the owner is too low? 3. Assume that you are ready to close and the owner wants one more thing?

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31 Compensation Issues (2) 4. How do you feel when your supervisor needlessly caves in to an owners demands when you have been holding firm? 5. How do you handle recurring property owners (e.g., utility companies, railroads, large landholders, etc.) who know the system as well as you do and always want more or who prefer to negotiate with your supervisor or attorney?

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32 Compensation Issues (3) 6. How do you secure an increase in the compensation ?

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33 Condemnation Issues (1) 1. How do you know when it is time to start condemnation? 2. How hard does your agency work to avoid condemnation? 3. Why does your agency condemn (e.g., money divergence, title issues)?

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34 Condemnation Issues (2) 4. How do you raise the subject of condemnation with the owner without being coercive? 5. Does your agency ever win a compensation claim?

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35 Property Owner Issues (1) 1. How do you deal with an owner who is hurting him/herself in the negotiations (e.g., obstinate, just doesnt grasp the situation, is in conflict with another owner)? 2. How do you deal with an owner who wont cooperate?

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36 Property Owner Issues (2) 3. How do you deal with an owner who demands way too much compensation and your agency would prefer to settle and not condemn? 4. What do you do when the negotiations reach an impasse? 5. What do you do when the owner is unable to make a decision?

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37 Conflict Conflict is a disagreement or collision (between people or among groups) in interests, ideas, beliefs, opinions, impulses, etc. with an emphasis on process rather than on outcome. The conflict can be perceived of as friendly or hostile or gradations in between.

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38 Conflict Management Styles Avoidance Accommodation Competition Compromise Integration

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39 Avoidance Differences are too minor or too great to resolve. If resolution is attempted, relationships might be adversely affected.

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40 Accommodation Relationship and harmony must not be jeopardized.

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41 Competition Need to prove superiority. Need to satisfy own needs.

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42 Compromise No one person or one idea is ideal. There are several ways to do anything. A person needs to give to get.

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43 Integration When both parties communicate openly, a mutually beneficial solution will be found without either person making a major concession.

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44 Conflict

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45 Conflict Management Styles Avoidance Accommodation Competition Compromise Integration

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46 Personality Styles Extrovert Introvert Pragmatist Idealist

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47 Characteristics of the Successful Negotiator (1) Credibility Courage Empathy Integrity/Ethics Patience Communication Skills

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48 Maintaining Relationships Shared control Equality Similarities Trust Liking Openness Interdependence Self-worth No jargon Understanding and giving feedback

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49 Characteristics of the Successful Negotiator (2) Motivation is the psychological characteristics that arouse people to act. ExternalInternal

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50 Reactive v. Proactive

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51 Case Study

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52 Objectives Now, you should be able to... Demonstrate a basic knowledge of the requirements that apply to negotiators for Federal and federally assisted projects under the Uniform Act. Understand individual negotiating styles. Use practical approaches and tips to improve right of way acquisition settlement rates.

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53 Thank you 207-PT Revision 2 10.18.10.USA