“Interstate Highway System &
Evolution of the Uniform Act”
IRWA International Educational Conference
June 2015
Presented by
Carol Myers, Senior Right-of-Way Agent
Century Engineering, Inc.
 Acquiring Private Property for a Public Use with
Federal Funds
 Many Federal Agencies have the Power of Eminent
Domain:
 Housing & Urban Development
 Federal Aviation Administration
 Departments of Transportation
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I will focus on Transportation Projects
Local / State / Interstate Roads
 In the 1920’s & 30’s there were discussions and
plans for a Northern (Lincoln Highway) and a
Southern (Lee Highway) which were to run across
the US from East to West
Local / State / Interstate Roads
 After World War II
 Veterans returned home
 Exodus to Suburbs – Levittown, Pennsylvania
 Baby boomers
 More cars
 Caused a need for more and better roads
Local / State / Interstate Roads
 Established as a defense mechanism like the
Autobahn in Germany
 To efficiently move goods, products, and troops
across the United State of America, if necessary
 This ultimately lead to increased productivity and
mobilization within the country
Federal-Aid and Highway Act 1956
Established by President Eisenhower
 Signed June 29, 1956
 Authorized 41,000 miles of Interstate Highways
 Created the Highway Trust Fund
 Started a “pay as you go” system.
 National commitment to complete the system.
Improved Design Standards
 1956 Highway Act called for uniform standards in all
48 states
 Design projections were initiated
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Planning was for a time in the future --you didn’t just plan for
what was there
Eventually it became a standard 20 year design life
 Designs specified wider traffic lanes, shoulders, and
higher speeds
 Signing was standardized
Other Factors
Environmental Considerations
 Land use for urban highway construction
 Environmental impacts
 These issues resulted in many legislative and policy
changes
 1963 – Bureau of Planning & Research issues
instructions regarding assessment of impacts on fish
and wildlife areas
 1966 – DOT Section 4(f) restrictions
 1969 – National Environmental Policy Act
Problems with Implementation
 Cost increases
 Allegations of corruption
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Haste, waste, graft, mismanagement and outrageous
fraud
Property owners not treated fairly
“The Great Highway Robbery”
 By 1959 “Wild Speeches” erupted in the
House of Representatives about the
Interstate Highway Program that spoke of…
 Extravagance
 Inefficiency
 Waste
 Graft
 Etc.
In 1959 Special Subcommittee Formed
to Investigate Allegations in Many States
Headed by John A. Blatnik (D-MN)
Pennsylvania
West Virginia
Arizona
Louisiana
Oregon
Wyoming
South Dakota
Maine
Michigan
Tennessee
Maryland
Nevada
Arkansas
Montana
New Mexico
North Dakota
New Hampshire
Vermont
Wisconsin
The Investigation Coincided with
Negative Press Coverage of the
Interstate Program
Jack Anderson’s Article
“The Great Highway Robbery”
February 4, 1962 Parade
&
“The Great Highway Robbery”
one hour episode aired on
NBC David Brinkley's Journal
October 1, 1962
The Blatnik Report - May 1961
The Blatnik Committee issued their report…
 Findings:
 Highway Construction Practices
 Right-of-Way Acquisition
 Disposition of Right-of-Way Improvements
 Relationships between Road Contractors and State
Personnel
Examples
 Real Estate Appraisals were written in
pencil so that the values could be changed
 State Employees got credit for low balling offers to
property owners
 One Eastern Appraiser moved out west but
continued to write appraisal reports for the
highway program.
 His father would take a photo of a property and mail
it to him; so he valued properties that he never saw.
Results of the Blatnik
Investigation
 Drastic corrective measures put into effect on a
national scale by the Bureau of Public Roads and
American Association of State Highway Officials
 July 20, 1962 reorganization created a new Office of
Right-of-Way and Relocation
 Headed by Edgar H. Swick, FHWA -Responsible for
acquiring property
 Joseph M. O’Conner, Former FBI – Responsible for
fraud, land speculation, collusion, and audits
Eminent Domain
The power of any sovereign
government to take private
property without the consent of the
owner.
Distinction
 Eminent Doman
 Power, or right, to take property for
public use and necessity
 Condemnation
 Act of doing so
Limitations
 Power of Eminent Domain
 Constitution
 Regulations
 Statutes
 Case Law
Constitution, Statutes, United States Code
and Regulations
Federal Constitutional
Limitations
 5th Amendment to U.S. Constitution
“…nor shall private property be taken for
public use without just compensation.”
 14th Amendment to U.S. Constitution
“…nor shall any State deprive any person
of life, liberty, or property, without due
process of law…”
State Constitutional
Limitations
Example of a State constitution
“No person’s property shall be taken
damaged or destroyed for or applied to
public use without adequate
compensation being made…”
Historical Context
 Prior to this there were 19 different Federal Agencies
using Federal funds for land acquisition - each had
their own set of rules
 1970 creation of Title 49: Transportation Part 24 –
Uniform Relocation Assistance and Real Property
Acquisition for Federal and Federally-Assisted
Programs
 Commonly Referred to as the Uniform Act
 Signed into law by President Nixon, January 1971
Objectives of the Uniform Act
 Acknowledges the inequities of piecemeal legislation.
 Recognized the “in rem” concept of just compensation and need for
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additive payments based on personal consideration.
No person left worse off than before displacement.
Encourage tenants to become homeowners.
Requires 90 day notice.
Requires relocation services to all to lessen impacts.
Provided “tools” to provide Decent, Safe & Sanitary “DSS” housing.
Provided for reimbursement for actual/reasonable moving expenses.
Must have DSS housing available w/in financial means.
Established uniform land acquisition policies to protect rights.
Uniform Act
 Title I – General Provisions
 Title II – Uniform Relocation Assistance Declaration of
Findings and Policy
 Title III – Uniform Real Property Acquisition Policy
Implementing Regulations
23 CFR Part 710
49 CFR Part 24
Implementing Regulations
The Uniform Act are the CAKE ingredients!
 23 CFR Part 710
 49 CFR Part 24
 The regulations are the DIRECTIONS
to make the CAKE!
State and Local Laws
 States DOT’s may have other rules and regulations,
remember Federal regulation sometime establish
“minimum standards”, State’s could be stricter.
 i.e. PennDOT’s requirement to advise owners that they
are entitled up to $4,000 for property owner appraisals
etc..
Legal Requirements
 Federal Uniform Relocation and Real Property
Acquisition Policies Act of 1970 as amended
(commonly referred to as the Uniform Act)
 The Code of Federal Regulations Title 49 Part 24
(49 CFR 24)
 Interprets and clarifies intent of Uniform Act
 Must comply with 49 CFR 24 if a project is to receive
Federal funds
23 CFR Part 710
§ 710.203 (b) (2) (ii)
Relocation assistance and payments
provided under the laws of the State that
may exceed the requirements of 49 CFR
Part 24, except for relocation assistance and
payments provided to aliens not lawfully
present in the United States.
49 CFR Part 24
Subpart A
Uniform Act - Subparts
 Subpart A – General - definitions
 Subpart B – Real Property Acquisition – Negotiation,
Appraisal and Appraisal Review
 Subpart C – General Relocation Requirements
 Subpart D – Payments for Moving and Related
Expenses
 Subpart E – Replacement Housing Payments
 Subpart F – Mobile Homes
 Subpart G - Certification
Uniform Act (cont.)
 The Uniform Act covers multiple disciplines:
 Appraisal
 Negotiation
 Relocation
49 CFR Part 24
Subpart A
Key Elements –
General Purpose & Definition
 Definitions
 No Double Payments
 Notify Property Owners
 Administration of Jointly Funded Projects
 Compliance with other Laws and Regulations
 Record Keeping
 Appeals
Key Elements –
General Purpose- Definitions
…to promulgate rules to implement the “Uniform
Act”…, in accordance with the following
objectives:

Owners of Real Property
• Treated fairly and consistently
• Expeditious acquisition by agreement
• Minimize litigation
• Promote public confidence in Federal Land
Acquisition
Uniform Act – Purpose:
 “In order to encourage and expedite the acquisition of
real property by agreements with owners
 To avoid litigation
 To relieve congestion in the courts
 To promote public confidence
49 CFR 24.1 Purpose
 Displaced Persons, as a result of a Federal-Aid
Project
 Treated fairly, consistently and equitably
 Person will not suffer disproportionate injuries as a
result of a project that would benefit the whole public
 Ensure that Agencies implement these
regulations…
 With Efficiency
 Cost Effectively
49 CFR Part 24
Subpart B
Key Elements – Appraisals
 Appraisal
 Appraiser Qualification
 Uneconomic Remnants
 Waiver of Appraisal
 Realty and Personality
 Tenant-Owned Improvements
 Opportunity to Inspect
 Project Influence
 Scope of Work for the Appraisal Assignment
Key Elements – Appraisal Review
 Appraisal Review Defined
 Review Appraiser Qualifications
 Communication with Appraiser
 Review Appraiser’s Findings
 Review Appraiser’s Opinion of Value
 Establish Just Compensation
49 CFR Part 24
Subpart C
Discussion Topics – Subpart C -General
Relocation Requirements
§ 24.201 – Purpose
This subpart prescribes general
requirements governing the provisions of
relocation payments any other relocation
assistance in this part.
Key Elements – Relocation
Requirements
 Relocation notices
 Availability of comparable replacement
dwellings
 Relocation planning
 Advisory services and coordination
 Eviction for cause
 Claims for relocation payments
 Aliens not lawfully present in the United States
 Relocation payments not considered income
49 CFR Part 24
Subpart D
Key Elements – Moving &
Related Expenses
 Residential Move Options
 Non-Residential Move Options
 Eligible Expenses
 Ineligible Expenses
49 CFR Part 24
Subpart E
Key Elements – Replacement
Housing Payments
 Comparability
 Household Income
 Housing Options
 Housing of Last Resort
49 CFR Part 24
Subpart F
Key Elements – Mobile Homes
Definition
 Definition of a Mobile Home
 Real or Personal Property
 Replacement Scenario
 Payment Option
49 CFR Part 24
Subpart G
Key Elements – Certification
Assurances, Monitoring and
Correction Action
 Application for Certification
 Between FHWA Director, Office of Real Estate and the
Governor of the State making application
 Appropriate assurances to comply with the Uniform Act
 List any state laws contrary to the Uniform Act
Key Elements – Certification
Assurances, Monitoring and
Correction Action
(cont.)
 Monitoring and Correction Action
 Independent Oversight
 Corrective Actions
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Action plans to comply
Loss of Funding
Rescind Certificate
 Prevent fraud, waste, and mismanagement
Appendix A to Part 24 – Additional
information
Appendix A. The word "should" is used. Does this mean
that the appendix provisions are suggestions rather than
requirements?
Appendix A is an integral part of the regulation. While it
does not impose additional mandatory requirements, it
provides important guidance and information concerning
the purpose, intent and implementation of many of the
provisions in the regulation. "Should," when used in the
appendix to describe a mandatory requirement of the
regulation, cannot alter or reduce that requirement. When
used to provide guidance, it explains how a regulatory
provision is to be implemented under most circumstances.
Important Points to Remember !!
Remember
 Payment can only be made for what is shown on the
R/W plan (i.e. signs, septic, etc.)
 Site improvements must be spotted on the R/W plans:
(example is structure near required line)
 Temporary easement is a form of R/W.
 If you can’t build it and/or maintain it within the
“existing R/W” then some type of R/W is needed.
Don’t Forget
 Tie Backs need right-of-way
 Utilities may need right-of-way – get involved early
in the process; need to know their rights
 Railroad may need PUC involvement – very time
consuming (another reason for a final right-of-way
plan)
Think About
 How many of you have purchased a home ?
 How long did it take to find the house ?
 How long did it take to get financing ?
 If you have children did it make a difference as to
what time of year you moved ?
 What were your thoughts when the real estate
people intruded on you at dinner, periods of grief,
periods of joy ?
Be Reminded
 The R/W staff or consultant serves general public
and the property owners
 They are required to make sure that property
owners receive all their benefits under the various
laws that govern acquisition
The End
Questions
Websites
 “The Great Highway Robbery” NBC David
Brinkley’s Journal - http://www.IMDB.com
 The Uniform Act - http://www.fhwa.dot.gov/real
estate/publications/
 Electronic Code of Federal Regulations –
http://www.ecfr.gov