Cal. Code Regs. tit. 25 § 6090

Current through Register 2024 Notice Reg. No. 50, December 13, 2024
Section 6090 - Actual Reasonable Moving Expenses
(a) General. A public entity shall make a payment to a displaced person who satisfies the pertinent eligibility requirements of section 6084 and the requirements of this section, for actual reasonable expenses specified below and subject to the limitations set forth in subsection (c) of this section for moving himself, his family, business, farm operation or other personal property. In all cases the amount of a payment shall not exceed the reasonable cost of accomplishing the activity in connection with which a claim has been filed.

The moving and related expenses for which claims may be filed shall include:

(1) Transportation of persons and property not to exceed a distance of 50 miles from the site from which displaced, except where relocation beyond such distance of 50 miles is justified;
(2) Packing, crating, unpacking and uncrating personal property;
(3) Such storage of personal property, for a period generally not to exceed 12 months, as determined by the public entity to be necessary in connection with relocation;
(4) Insurance of personal property while in storage or transit; and
(5) The reasonable replacement value of property lost, stolen or damaged (not through the fault or negligence of the displaced person, his agent, or employee) in the process of moving, where insurance covering such loss, theft or damage is not reasonably available.
(6) The cost of disconnecting, dismantling, removing, reassembling, reconnecting and reinstalling machinery, equipment or other personal property (including goods and inventory kept for sale) not acquired by the public entity, including connection charges imposed by public utilities for starting utility service.
(b) Actual Reasonable Moving Expenses--Displaced Business Concerns and Farm Operations.

In addition to those compensable expenses set forth in subsection (a) of this section, a displaced business concern or farm operation may file a claim for the following moving and related expenses:

(1) The cost, directly related to displacement of modifying the machinery, equipment, or other personal property to adapt it to the replacement location or to utilities available at the replacement location or modifying the power supply.
(2) Claims for payment under this subsection shall be subject to the following limitations:
(A) Reimbursable costs shall be reasonable in amount.
(B) The cost could not be avoided or substantially reduced at an alternate available and suitable site to which the business was referred.
(3) The cost of any license, permit or certification required by a displaced business concern to the extent such cost is necessary to the reestablishment of its operation at a new location.
(4) The reasonable cost of any professional services (including but not limited to, architects', attorneys' or engineers' fees, or consultants' charges) necessary for planning the move of personal property, moving the personal property, or installation of relocated personal property at the replacement site.
(5) Where an item of personal property which is used in connection with any business or farm operation is not moved but is replaced with a comparable item, reimbursement in an amount not to exceed (1) the replacement cost, minus any net proceeds received from its sale, or (2) the estimated cost of moving, whichever is less.
(c) Advance Payments. A displaced person may be paid for his anticipated moving expenses in advance of the actual move. A public entity shall provide advance payment whenever later payment would result in financial hardship. Particular consideration shall be given to the financial limitations and difficulties experienced by low and moderate income persons and small farm and business operations.
(d) The specific provisions contained in this section are not intended to preclude a public entity's reliance upon other reasonable means of effecting a move, including contracting moves and arranging for assignment of moving expense payments by displaced persons.
(e) Self-moves. Without documentation of moving expenses actually incurred, a displaced person electing to self-move may submit a claim for his moving expenses to the public entity in an amount not to exceed an acceptable low bid or an amount acceptable to the displacing entity.
(f) Personal Property of Low Value and High Bulk--Business or Farm Operation. Where, in the judgment of the public entity, the cost of moving any item of personal property of low value and high bulk which is used in connection with any business or farm operation would be disproportionate in relation to its value, the allowable reimbursement for the expense of moving such property shall not exceed the difference between the cost of replacing the same with a comparable item available on the market and the amount which would have been received for such property on liquidation. This provision may in appropriate situations be applied to claims involving the moving of junkyards, stockpiles, sand, gravel, minerals, metals and similar property.
(g) Documentation in Support of a Claim.
(1) General. Except in the case of a displaced person conducting a self-move as provided in subsection (e) above, a claim for a payment under this section shall be supported by a bill or other evidence of expenses incurred. By prearrangement between the public entity, the site occupant, and the mover, evidenced in writing, the claimant or the mover may present an unpaid moving bill to the public entity, and the public entity may pay the mover directly.
(2) Business and Farm Operations. Each claim in excess of $1,000 for the costs incurred by a displaced person for moving his business or farm operation shall be supported by competitive bids in such number as are practical. If the public entity determines that compliance with the bid requirement is impractical or if estimates in an amount of less than $1,000 are obtained, a claim may be supported by estimates in lieu of bids.
(h) Whenever a public entity must pay the actual cost of moving a displaced person the costs of such move shall be exempt from regulation by the Public Utilities Commission as provided by section 7262(e) of the Act. The public entity may solicit competitive bids from qualified bidders for performance of the work. Bids submitted in response to such solicitations shall be exempt from regulation by the Public Utilities Commission.
(i)
(1) Reestablishment Expenses. In addition to moving expense payments, a farm, nonprofit organization or small business of not more than 500 employees, shall be entitled to actual and reasonable reestablishment expenses, not to exceed $10,000.00. Reestablishment expenses shall be only those expenses that are reasonable and necessary and include, but are not limited to:
(A) Repairs or improvements to the replacement property as required by Federal, State or local law, code or ordinance.
(B) Modifications to the replacement property to accommodate the business operation or make replacement structures suitable for conducting the business.
(C) Construction and installation costs for exterior signing to advertise the business.
(D) Provision of utilities from right-of-way to improvements on the replacement site.
(E) Redecoration or replacement of soiled or worn surfaces at the replacement site, such as paint, panelling or carpeting.
(F) Licenses, fees and permits when not paid as part of moving expenses.
(G) Feasibility surveys, soil testing and marketing studies.
(H) Advertisement of replacement location.
(I) Professional services in connection with the purchase or lease of a replacement site.
(J) Estimated increased costs of operation during the first 2 years at the replacement site for such items as:
1. Lease or rental charges,
2. Personal or real property taxes,
3. Insurance premiums, and
4. Utility charges, excluding impact fees.
(K) Impact fees or one-time assessments for anticipated heavy usage.
(L) Other items essential to the reestablishment of the business.
(M) For purposes of this subsection the term "small business" shall mean a business having not more than 500 employees working at the site being acquired or displaced by a program or project, which site is the location of economic activity. Sites occupied solely by outdoor advertising signs, displays, or devices do not qualify as a small business for purposes of this subsection.
(2) Ineligible expenses. The following is a nonexclusive listing of reestablishment expenditures not considered to be reasonable, necessary, or otherwise eligible:
(A) Purchase of capital assets, such as, office furniture, filing cabinets, machinery, or trade fixtures.
(B) Purchase of manufacturing materials, production supplies, product inventory, or other items used in the normal course of the business operation.
(C) Interior or exterior refurbishments at the replacement site which are for aesthetic purposes, except as provided in paragraph (i)(1)(E) of this section.
(D) Interest on money borrowed to make the move or purchase the replacement property.
(E) Payment to a part-time business in the home which does not contribute materially to the household income.

Cal. Code Regs. Tit. 25, § 6090

1. Amendment of section and new NOTE filed 8-12-97; operative 9-11-97 (Register 97, No. 33).

Note: Authority cited: Section 50460, Health and Safety Code. Reference: Section 7262(a)(4), Government Code.

1. Amendment of section and new Note filed 8-12-97; operative 9-11-97 (Register 97, No. 33).