wisconsin department of transportation advanced acquisitions early acquisition hardship acquisition...
TRANSCRIPT
Wisconsin Department of Transportation
Advanced Acquisitions Early Acquisition
Hardship Acquisition Protective Purchase
Norman Pawelczyk
WisDOT – Bureau of Technical Services
Dave Selissen
Timbers – Selissen Land Specialists, Inc.
WisDOT Real Estate Training Conference – May 14, 2013
Overview
Discuss three advanced acquisition types Early, Hardship & Protective
Discuss purpose and criteria
Past experiences
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Type & Purpose of Advanced Acquisitions
Early Acquisitions Help start acquisitions early on project
Hardship Acquisitions Help reduce hardships to owners
Protective Purchases Help reduce unnecessary costs to State
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Advanced Acquisitions
Delegated discretion to the regions Central Office oversight required!
Hardship & Protective Purchases Where federal funds are to be used for the real
estate acquisition project Central Office oversight not required
Early Acquisition Recommends that the regions apply and follow the
early “acquisition process,” which does not require CO oversight
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Criteria:
The early acquisition process allows the acquisition of right of way prior to Design Study Report (DSR) approval or completion of the environmental analysis process provided that all of the following criteria have been met…
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Early Acquisitions
Advanced acquisition of property(s) did not influence decision relative to need to construct project or selection of alternative
Complies with Title VI of Civil Rights Act of 1964 Complies with Uniform Relocation Assistance and
Real Property Acquisition Policies Act of 1970, as amended
Does not include lands protected by Section 4(f) of DOT Act. Parcels impacted by Section 4(f) cannot be acquired until an environmental document has been approved
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Early Acquisitions - Criteria
(cont’d.)
Early acquisitions are not being used to circumvent federal laws or regulations
Environmental process has been initiated and is well on its way to completion
Final project meets all requirements for normal federal aid project, such as compliance with NEPA, Historical Preservation Act, Endangered Species Act, Wetlands Executive Order, etc.
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Early Acquisitions – Criteria (cont’d.)
(cont’d.)
No issues, problems or controversy involved in concept, or alternatives, or parcel
Process follows standard procedures for plats, relocation orders, relocation plans (if required), etc.
Under this process, relocation order can be approved prior to DSR
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Early Acquisitions – Criteria
Owner must submit an early buyout request via a brief letter
Planning and early buyout team must approve most early request unless acquisition occurs in same project year (fiscal year), then engineering would approve
An Arch Study must be completed for entire parcel; to be coordinated by environmental or the consultant engineering company if consulted out (in-house vs. consultant project)
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Early Acquisitions - Steps
(cont’d.)
Title work must be ordered through region unless it is a consultant project and they have already ordered title work (project engineer will tell you if it is a consultant project)
Funding must be encumbered and available either through planning (typically the 3r budget) or assigned project. Note: Funding is activated on 25th of each month; so, plan ahead to make sure money is available!
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(cont’d.)
Early Acquisitions - Steps (cont’d.)
If occupied, a relocation plan must be completed and a relocation benefits package presented at the time offer is made
Hire an appraiser Contact the property management person to
plan for the removal of any improvements
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Early Acquisitions - Steps
Valid Reasons: Advanced age of property owner(s) Death in family that may affect living arrangements Inability to develop vacant land Loss of employment and/or financial distress involving
personal or business circumstances, medical disability, disease or other factors affecting economic or medical well-being
Owner has written opinion from reputable real estate broker that property will not sell because of pending project
Owner has made reasonable effort to sell property at fair market value with no success
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Hardship Acquisition
Hardship Acquisitions: For benefit of owners who can show
marketability of their property has been adversely affected
Prolonged delay in acquisition will cause undue economic hardship
Owner must request purchase and show valid need to sell in advance of normal acquisition schedule
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Hardship Acquisition - Process
Protective Purchases
WisDOT makes protective purchases for benefit of State under certain conditions: Owner/developer advises WisDOT that
proposed development or extensive improvement on parcel is pending
Zoning will allow development or improvement Likelihood of development can be verified WisDOT determines public interest to prevent
development of parcel by making early acquisition
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Hardship & Protective Purchase
Can be made prior to completion of Environmental Impact Statement and Design Study Report (DSR)
Relocation Order must be approved prior to acquisition
Public must be given notice that public hearing was held or opportunity for hearing was afforded
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Acquired close to 50% with early buyouts Had challenge of convincing people to sign up Process saved 12 property owners from foreclosure FHWA reviewed because of questions concerning
possible overuse Was considered to be a safe and effective tool, and if
used correctly will save time to clear right of way and allow successful relocations of residential and business relocatees
Final conclusion was that process benefitted owners with more time. FHWA recommended we continue to use it.
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USH 41 Early Buyouts
Project Map
Advanced Acquisition Project ID 9202-07-01 WIS 29 (CTH J – Taylor)[Project ID 1133-10-02 Morris Avenue – Memorial Drive]
(STH 29/USH 41 Interchange)
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49 Improved Properties: 26 owner-occupied residences 24 tenant-occupied residences 11 businesses
3 gas stations/convenience stores Window/door manufacturer Trucking company Scuba shop Alternator Repair Shop Auto Dealership Pipe organ repair shop Car wash Construction company Pool supply store
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USH 41/STH 29 Project
Improved Properties Remaining: 10 improved properties 10 tenant-occupied residences 2 owner-occupied residences 3 business properties Pipe organ shop Car wash Gas station/convenience
USH 41/STH 29 Project
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USH 41/STH Project - Process
First large scale early acquisition project Solicited for early acquisitions Added to relocation plat
Plans A & B 4 plan revisions
Followed normal process, including condemnation if needed
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9 Improved Properties 2 owner-occupied residences 7 residential tenants 11 businesses
Montessori School 6 business office complex KFC restaurant Title loan office Motel Prosthetic limb manufacturer
Verona Road - Madison
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Hardship Acquisition?
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Other Hardship Acquisitions
STH 15 5 Improved properties
4 owner-occupied residences 3 farm properties
County was to require septic systems upgrades
Motel – Verona Road Closed by City of Madison
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Motel – Verona Road
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Other Hardship Acquisitions
Farms – USH 51 Deforest
Dairy Operations
Acquired houses and other agricultural improvements
Owners petitioned WisDOT for hardship acquisition for financial reasons
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Dairy Farm USH 51 - Deforest
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Restaurant –– Business 51 ProjectPlover, WI
Supper club with 2.91 acres
Acquisition of 0.14 acres
Remainder was not uneconomic
Needed to purchase entire property in order to give owner’s the opportunity to relocate
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Benefits
Time! Time! Time!
More time to clear project
More time for occupants to find suitable replacement housing/businesses
More time for market to absorb multiple relocatees
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Issues
Early acquisition does not mean easy acquisition! Must be willing to go through entire process
including condemnation if needed When do you issue a writ of assistance?
Extended occupancy Don’t expect rental payments
Farm on STH 15 and woodworking shop onSTH 23
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Should we have used advanced acquisition?
Hardship Acquisition?
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Questions?
Norman H. Pawelczyk
WisDOT - Bureau of Technical Services
Dave Selissen
Timbers-Selissen Land Specialists, Inc.
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