Welcome to the

International Right of Way Association’s

Course 504Computing Replacement

Housing Payments

504-PT – Revision 2 – 10.03.06.USA

Introductions

Who we are…What we do…

Where we do it…

How long we’ve been doing it…

Our goals for the course...

Objectives (1)

At the conclusion of the two days, you will be able to...

• Understand better the processes involved in computing various replacement housing payments using realistic, complex situations

• Build on current knowledge and implement better the Uniform Act provisions; specifically:

Objectives (2)

• recognize the importance of collecting the pertinent information at the interview stage

• compute replacement housing payments for less than 90 day occupants

• compute replacement housing payments for 90 day occupants

• compute replacement housing payments for 180 day homeowner occupants

Housekeeping

Schedule8:00 - 8:30 Introductions, Etc.

8:30 - 9:45 The Project

9:45 - 4:45 Rental Assistance Calculations

8:00 - 8:15 Recap and Introduction

8:15 - 2:00 Replacement Housing Payments

2:15 - 3:45 Other Payments

3:45 - 4:00 Summary and Review

4:00 - 5:00 Exam

The Uniform Relocation Assistance and Real Property Acquisition Actof 1970 and the Surface Transportation and Uniform Relocation Assistance Policies Actof 1987.

49 Code of Federal Regulations, Part 24, Uniform Relocation Assistance and Real Property Acquisition for Federal and Federally Assisted Programs.

Gregg and Betty Campbell

1. Does the comparable have to contain at least four bedrooms?

2. Does the comparable have to be in the Hutchinson School District?

3. Compute the rental assistance payment.

Samantha (Sam) Collins

1. Calculate the income you will use to prepare the rental assistance payment.

2. Discuss the various factors that determine the income (e.g., sources and whether or not they should be included

in the monthly total).

3. Which of the three rentals you will use as your primary comparable.

Frank Carpenter

1. Calculate the base monthly rent you will use to prepare the rental assistance payment.

2. Did you use fair market rent or actual rent? Did Frank’s “in kind services” influence your answer?

Mabel Chinsky, et al

1. How many households will be entitled to benefits?

2. Who should determine the number of calculations

required?

3. How does the daughter’s transportation issue affect the calculation?

4. Does Moses’ situation affect Mabel’s calculation?

Steven Hamilton and Sharon Cook

1. How many bedrooms must the comparable have?

2. What income will you use when testing for financial means?

3. What would happen if youknew that Sharon and Amy intended to move to a differentreplacement than the others?

Gavin and Amanda Martin

1. What benefits are Gavin and Amanda entitled to receive?

2. Compute the rental assistance payment, based on a comparable that rents for $675 plus utilities of $160.

Day One Recap We...

• looked at the importance of collecting the pertinent information at the interview stage

• spent most of the day working on a case study and computing replacement housing payments for less than 90 day occupants and for 90 day occupants

Day Two Today, we will...

• Compute replacement housing payments for 180 day homeowner occupants

Adam and Ashley Anders

1. What benefits should be calculated for the Anders?

2. Does the amount of time required to calculate, review and receive approval

influence your answer?

3. Assume the owners will be 180 day homeowner occupants by the initiation of negotiations, which is the most appropriate listing for use in calculating the price differential payment?

Adam and Ashley Anders

4. How does Ashley’s partial interest in the subject affect the calculation?

5. Must the listing have three bedrooms? Why? Why not?

6. Does the use of the dark room as an income generator

influence the comparable selection?

7. Under what logic might you select each of the listings?

Adam and Ashley Anders

8. Calculate the price differential payment based on Listing No. 2.

9. Based on your calculation, what must the Anders spend to get the maximum price differential payment?

10. What happens if nothing D. S. S. is available for the amount the Anders must spend?

Derek and Elizabeth Rush

1. Which is the best comparable?

2. What factors did you consider most important when making your selection?

3. How many bedrooms must the selected comparable have to calculate the price differential payment?

Derek and Elizabeth Rush

4. Three bedroom houses in the area are selling for 6% less

than listing prices. Four bedroom houses are selling for 4% less than listing prices. Is this information

relevant to the calculation? If so, how?

5. What is the maximum price differential payment for the Rush family.

Veronica and Samuel Goldman

1. What would you look for in a comparable?

2. The relocation agent could not find a handicap

accessible home. The agent received the following contractor estimates:Acme Remodeling $5,800Able Home Repair $6,500Fix It Quick $7,500

Veronica and Samuel Goldman

3. What is the price differential for the Goldmans?

4. How would you handle the contractor’s estimates?

5. What is the maximum payment?

Isaac and Ruth Spellman

1. Discuss the concept of major exterior attributes. When should an item be carved out? What are reasonable trade

offs?

2. Is the kitchen in the garage or the alarm system an “exterior” attribute? If not, can they be carved out if they are not contained in any of the available listings?

Jorge and Maria Gomez

1. Which is the most appropriate listing?

2. How should you proceed?

Jeff and Pamela Gordon

1. Determine the fair market value you would use to calculate the price differential payment if the agency did not offer to acquire the entire

property.

2. Would the fair market value used in the price differential payment calculation differ if the agency offered to acquire the entire lot and the owner

did not wish to sell? Why?

Objectives (1) Now, you are able to...

• Understand better the processes involvedin computing various replacement housing payments using realistic, complex situations

• Build on current knowledge and implement better the Uniform Act provisions; specifically:

Objectives (2)

• recognize the importance of collecting the pertinent information at the interview stage

• compute replacement housing payments for less than 90 day occupants

• compute replacement housing payments for 90 day occupants

• compute replacement housing payments for 180 day homeowner occupants

Thank you!

504-PT – Revision 2 – 10.03.06.USA