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HomeMy WebLinkAboutRDA 02 LIBRARY EXPAN 09-02-03AGENDA REPORT RDA 2 Agenda Item Reviewed: ~ City Manager Finance Director MEETING DATE: SEPTEMBER 2, 2003 TO: FROM: SUBJECT: WILLIAM A. HUSTON, EXECUTIVE DIRECTOR REDEVELOPMENT AGENCY STAFF APPROVAL OF RELOCATION PLAN FOR TUSTIN BRANCH LIBRARY EXPANSION PROJECT SUMMARY Agency approval of the Relocation Plan is requested for the proposed project located in the Town Center Redevelopment Project Area. RECOMMENDATION It is recommended the Redevelopment Agency adopt Resolution No. RDA 03-15 approving and adopting the Relocation Plan for the proposed Tustin Branch Library Expansion Project. FISCAL IMPACT No direct fiscal impacts on the Redevelopment Agency or implementation of the Relocation Plan is anticipated at this time. If the negotiations with the property owners result in a Purchase Agreement(s) or if the Agency is required to obtain possession of the properties under other legal procedures, the Agency will bear the fiscal impacts associated with relocation activities. Preliminary estimates of these expenses are identified in the Relocation Plan. BACKGROUND The Tustin Redevelopment Agency has been conducting design and programming studies and preparing State funding assistance applications for the redevelopment and expansion of the Tustin Branch Library. In addition, the Agency has secured options to purchase four properties on the east side of Preble Drive, and has made offers to purchase four properties on the west side of Preble Drive (the "Nicola" and "Emery" William A. Huston September 2, 2003 Page 2 properties) to facilitate the development of the proposed Project. The proposed Tustin Branch Library Expansion Project would replace the existing Civic Center facility located at 345 East Main Street on an enlarged site that encompasses the existing library and additional properties. At this time, acquisition of the four parcels on the west side of Preble Drive and the potential displacement of 3 residential households, 14-16 care facility residents, and 9 commercial tenants on these properties is proposed. These four parcels are improved with a nine-unit office complex at 285 E. Main Street, two single story residential structures that were originally built as triplex apartments and converted to house additional clients for the Tustin Hacienda care facility ( 280-284 East Third Street and 320-324 South Preble Drive), and a triplex at 330-334 South Preble Drive. The four additional properties on the east side of Preble Drive currently under purchase options by the Agency would be acquired for the Project ultimately but not for likely less than 12 months in the future. Anticipated funding for the Project would include grant funds pursuant to the California Reading and Literacy Improvement and Renovation Act of 2000 (the California Library Bond Act) and additional local funds. The Tustin Redevelopment Agency will be responsible for all land acquisition and relocation efforts. Relocation Plan Since funding for the proposed project is anticipated in part from Agency tax increment funds, the Relocation Plan and subsequent relocation assistance for the proposed project will be made in accordance with the provisions of the California Relocation Law (California Government Code Section 7260 et seq. - the Law) and the California Code of Regulations (CCR Title 25, Chapter 6 - the Guidelines) with respect to residential and commercial displacement. The Agency is required to prepare, submit for public review and approve a relocation plan prior to the commencement of any displacing activity. The primary purposes for such a plan are to identify the needs of potential displaces, discuss replacement housing and commercial space availability and detail a relocation program that will provide appropriated technical and financial assistance to all eligible displaced persons. In order to evaluate the present housing and business tenancy circumstances and the requirements of potential displacees, Pacific Relocation Consultants have prepared a Relocation Plan for the Project which is attached for the Agency's review and approval. The Relocation Plan addresses the following: William A. Huston September 2, 2003 Page 3 1. A general description of the proposed Project area and the specific Project site subject to relocation; Survey methodology and data including individual assessments of the relocation needs of households and businesses who may be displaced as a result of the proposed project; An assessment of the availability of nearby comparable relocation housing and discussion of replacement site opportunities for businesses within the City of Tustin and surrounding areas; and, 4. The steps and procedures that the Agency will follow to ensure that a satisfactory and thorough relocation program is implemented. While efforts were made by Pacific Relocation Consultants and Agency staff to obtain information from potentially affected residential occupants of the Project, legal counsel for the owner of the care facility frustrated the attempts to contact the occupants of the care facility. The limited information available concerning the care facility and residential occupants is based on interviews conducted with the facility owner over the last 24 months and impressions of the real property appraiser who physically surveyed the properties subject to possible acquisition. Information regarding the existing businesses was obtained through personal interviews conducted with 8 of the 9 businesses potentially affected by the Project. As the result of further interviewing that might occur in the future, it may be likely that additional clients on properties proposed for purchase at this time may be eligible for relocation assistance. The Relocation Plan indicates that survey data suggests that there will be sufficient availability of comparable nearby rental housing and residential care facility vacancies to meet the needs of the residential occupants which are likely to be displaced from development of the proposed project. Based on physical surveys it also appears that potentially displaced businesses can expect to find a reasonable inventory of available nearby office space. In addition, displaces who are willing or desiring to consider relocation beyond the immediate City of Tustin area, can expect to have numerous relocation units and replacement site options available. Implementation of the Relocation Plan will provide all eligible displaced residential occupants payments for actual moving expenses or a fixed in-lieu payment for moving expenses based on the room count in the occupied dwelling. Residential occupants may also be eligible for rental assistance payments of up to $5,250 except in the case William A. Huston September 2, 2003 Page 4 of last resort housing, which would base the total payments upon the monthly housing assistance need over a forty-two (42) month period. All eligible business displaces will be provided payment for actual moving expenses as provided under the CCR Guidelines or may elect an in-lieu payment amount of not less than $1,000 to $10,000 based on the average, annual net earnings of the business. In addition, a business may be eligible for loss of good will if it can support a claim under State law (California Code of Civil Procedures Section 1263.510). Specific eligibility requirements and benefit plans will be detailed on an individual basis with all displaces. Finding of Benefit This site is located in the Town Center Project Area. In March, 2000, the Tustin Community Redevelopment Agency adopted a Second Five-Year Implementation Plan for the Town Center and the South/Central Redevelopment Projects for fiscal years 2000-2001 to 2004-2005. The Implementation Plan was composed of two parts: a five- year plan for Redevelopment activities; and a five-year plan for housing activities. Anticipated accomplishments and expenditures for the five-year period included property acquisitions, design studies and State funding assistance applications to support and facilitate the redevelopment and expansion of the Tustin Branch Library. The proposed Project is consistent with the Implementation Plan for the Town Center Redevelopment Project Area. It would remove the existing library facility in the Project Area, which is nearing the end of its useful life and which is characterized by a number of deterioration problems, over-utilization and insufficient parking, and assemble aging disparate ownership apartment buildings and two commercial properties to provide for the much needed expanded library. The proposed project will substantially expand the Tustin Branch Library and its services, provide educational and recreational improvements, and stimulate economic development in the area. The proposed project would construct a new, single story facility on the present site expanded by the acquisition of the additional properties. Approval of the Relocation Plan for the proposed Tustin Branch Library Expansion Project does not commit the Agency to funding project costs until the Agency and City approves individual discretionary actions necessary fo_9~e Project to proceed. Christine A. Shingleton~/ Ja"mes A. DraughonU Assistant City Manager Redevelopment Program Manager attach ments RESOLUTION NO. RDA 03-15 A RESOLUTION OF THE TUSTIN COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF TUSTIN, CALIFORNIA APPROVING AND ADOPTING THE RELOCATION PLAN FOR THE TUSTIN BRANCH LIBRARY EXPANSION PROJECT PROPERTY IN THE CITY OF TUSTIN The Tustin Community Redevelopment Agency DOES HEREBY RESOLVE as follows: I. The Tustin Community Redevelopment Agency finds and determines as follows: Section 6038 of the State Redevelopment Guidelines (25 California Code of Regulations Section 6038) requires the Agency to prepare, as soon as possible after the initiation of negotiations, and prior to proceeding with any phase of a project that will result in displacement of residents or businesses, a specific Relocation Plan; and A Relocation Plan has been prepared for the Project and notice of the availability of the Plan for review has been provided to interested persons, including residents impacted by the Relocation Plan; and There will be no direct or indirect fiscal impacts on the Agency or physical impacts on the environment from the approval and adoption of the Plan because neither will be implemented until such time as a Purchase Agreement is approved by the Agency or at such time as the Agency acquires possession of the property under other legal procedures; and On May 6, 2002, the Tustin City Council approved a Mitigated Negative Declaration for the Project pursuant to Public Resources Code Section 21000, et seq., the California Environmental Quality Act (CEQA) and on May 30, 2002 the City filed a Notice of Determination under CEQA with the County Clerk of the County of Orange, California; and E. The Agency now desires to approve the Relocation Plan. NOW THEREFORE, the Tustin Community Redevelopment Agency resolves as follows: The Relocation Plan is not a "project" subject to CEQA, because neither will cause a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment. Public Resources Code Section 21065; 14 California Code of Regulations Section 153378(a). Resolution RDA No. 03-15 Page 2 2. The Relocation Plan attached hereto is hereby approved and adopted. PASSED AND ADOPTED at a regular meeting of the Tustin Community Redevelopment Agency held on the 2nd day of September 2003. TRACY WILLS WORLEY, Chairperson PAMELA STOKER Recording Secretary STATE OF CALIFORNIA ) COUNTY OF ORANGE ) CITY OF TUSTIN ) SS I, Pamela Stoker, Recording Secretary and ex-officio Recording Secretary of the Community Redevelopment Agency of the City of Tustin, California, do hereby certify that the whole number of the members of the Community Redevelopment Agency of the City of Tustin is five; that the above and foregoing Resolution No. RDA 03-15 was duly passed and adopted at a regular meeting of the Tustin Community Redevelopment Agency, held on the 2nd day of September 2003, by the following vote: AGENCYMEMBER AYES: AGENCYMEMBER NOES: AGENCYMEMBER ABSTAINED: AGENCYMEMBER ABSENT: PAMELA STOKER Recording Secretary RDA Reso\RDA 03-15 Library exp.doc REL___OCATION PLAN Tus TIN LIBRARY EXPANSION PROJECT PREPARED FOR THE TUSTIN REDEVELOPMENT AGENCY BY PACIFIC RELOCATION CONSULTANTS LONG BEACH, CA JULY, 2003 INTRODUCTION I. PROJECT AREA DESCRIPTION ............................................. 2 A. THE REGIONAL LOCATION .............................................. 2 B. PROJECT SITE LOCATION .............................................. 3 C. GENERAL DEMOGRAPHIC & HOUSING CHARACTERISTICS .................. 4 1. Population ............................................................ 4 2. Ethnicity .............................................................. 4 3. Housing Mix & Tenure ................................................... 4 II. ASSESSMENT OF RELOCATION NEEDS ..................................... 5 A. PROJECT IMPACTS B. SURVEY SCOPE AND METHODOLOGY C. RESIDENTIAL SURVEY RESULTS 1. Residential Care Facility Occupants ........................................ 5 2. Residential Occupants ................................................... 6 3. Related Issues ......................................................... 6 D. BUSINESS SURVEY RESULTS ........................................... 8 III. RELOCATION RESOURCES ............................................... 9 A. RESOURCE SURVEY METHODS ......................................... 9 B. REPLACEMENT HOUSING AVAILABILITY .................................. 9 1. Residential Care Facility Relocation Resources ............................... 9 2. Rental Housing ....................................................... 10 3. Commercial Relocatbn Resources ........................................ 10 4. Conclusions ......................................................... 11 IV. THE RELOCATION PROGRAM A. INTRODUCTION B. RELOCATION ADVISORYASSISTANCEPROGRAM ........................ 12 C. RELOCATION BENEFITS (Residential Displacees) ........................... 14 1. Residential Moving Expense Payments ..................................... 15 2. Rental Assistance To 90-Day Residential Tenants Who Re-Rent ................. 16 3. Downpayment Assistance To 90-Day Tenants Who Choose to Purchase .......... 17 4. Payments To Non-Tenured Residential Tenants .............................. 17 D. RELOCATION BENEFITS (Business Displacees) ............................. 18 1. Payment for Actual Reasonable Moving and Related Expenses .................. 18 2. A Fixed Payment In Lieu of A Payment For Actual Reasonable Moving and Related Expenses .................... 3. Loss of Business Goodwill ..... 20 E. GENERAL INFORMATION ON PAYMENT OF RELOCATION BENEFITS ......... 21 F. RELATED PROJECT ISSUES ........................................... 22 1. Concurrent D sp acement ............................................... 22 2. Temporary Housing .................................................... 22 G. LAST RESORT HOUSING .............................................. 22 H. RELOCATION TAX CONSEQUENCES .................................... 22 I. GRIEVANCE POLICY AND PROCEDURES ................................. 22 J. EVICTION POLICY .................................................... 23 K. CITIZEN PARTICIPATION ............................................... 23 L. PROJECTED DATES OF DISPLACEMENT ................................. 24 M. ESTIMATED RELOCATION COSTS ....................................... 24 Table 1: City of Tustin Year 2000 Decennial Census Data - Ethnicity .................... 4 Table 2: Description of Business Uses ................................. 8 Table 3: Vacancies Among Certain Orange County Residential Care Fad t es ........ 9 Table 4 Availability and Cost of Rep acement Rental Housing ........................ 10 Table 5: Schedule of Fixed Moving Payments .................................... 16 Table 6: Computation of Rental Assistance Payments .............................. 17 EXHIBIT A: EXHIBIT B: EXHIBIT C: EXHIBIT D: EXHIBIT E: EXHIBIT F: HUD Annual Median Income Limitations - Orange County Residential Interview Form Business Interview Form Residential Information Brochure Business Informational Brochure Summary of Public Comments on The Relocation Plan and City Response (To Be Determined) The proposed Tustin Library Expansion Project (the Project) would replace the existing Civic Center facility located at 345 East Main Street on an enlarged site that encompasses the existing library and additional properties. At this time, development of the Project would necessitate the acquisition of four land parcels and the relocation of both residential and commercial tenants. The parcels are improved with a nine unit office complex, a triplex, and two single-stow structures originally built as triplexes and converted to house clients at the Tustin Hacienda Care facility. Anticipated funding for the Project would include grant funds pursuant to the California Reading and Literacy Improvement and Renovation Act of 2000 (the California Library Bond Act) and additional local funds. The Tustin Redevelopment Agency (the Agency) will be responsible for land acquisition and relocation efforts. To conform with the provisions of California Relocation Law ( California Government Code Section 7260 et seq. - the Law) and the California Code of Regulations (CCR Title 25, Chapter 6 - the Guidelines) with respect to residential and commercial displacement, the Agency is required to prepare, submit for public review and approve a relocation plan prior to the commencement of any displacing activity. The primary purposes for such a plan are to identify the needs of potential displacees, discuss replacement housing and commercial space availavility and detail a relocation program that will provide appropriate technical and financial assistance to all eligible, displaced persons. Every effort was made by Pacific Relocation Consultants (PRC) and city staff to ensure that this Relocation Plan (the Plan) would conform to the specific requirements of Section 6038 of the Guidelines. As required, this document will have been made available for public reviewat least 30 days prior to its consideration for adoption by the City Council. This Plan is organized in 4 principal sections: Section 1: A general description of the Project area and the specific Project site Section 2: Survey methodology and data including Individual assessments of the relocation needs of households and businesses to be displaced by the Project. Section 3: An assessment of nearby comparable replacement housing resources and discussion of replacement site opportunities for'commercial uses Section 4: The steps and procedures that the Tustin Redevelopment Agency will follow to ensure a satisfactory and thorough relocation program PREPARED BY PACIFIC RELOCA T/ON CONSULTANTS PAGE A. THE REGIONAL LOCATION The City of Tustin (the City) is located in central Orange County (the County), bounded generally by the cities of Santa Ana and Irvine and unincorporated portions of the County. The City is served by the Santa Ana (Interstate 5) and Costa Mesa (State Route 55) freeways and is within approximately 2.5 miles of John Wayne Airport.(See Figure 1: Regional Project Locatioo) Figure 1: Regional Project Location PREPARED BY PACIFIC RELOCATION CONSULTANTS PAGE 2 B. PROJECT SITE LOCATION The Project is in the immediate Civic Center area of the City, bounded by Third Street to the north, Main Street to the south, the main Hacienda Care facility and the Tustin Water Yard to the west, and the existing Civic Center and Tustin Branch Library to the east. Acq uisition of properties at this time on the westside of Preble Drive is necessary. The proposed Project is located in the Town Center Redevelopment Project Area. PREPARED BY PACIFIO RELOCATION CONSULTANTS PAGE 3 GENERAL DEMOGRAPHIC & HOUSING CHARACTERISTICS 1. Population The Year 2000 Decennial U.S. Census (the Census) indicated a population of 67,504 inhabitants in the City, representing 2.37% of the total population for the County. 2. Ethnicity According to the Census, the ethnic mix in the City was approximately 58.7% White; 17.9% Some other race; 14.9% Asian; 4.6% Two or More Races; 2.9% Black or African American; 0.7% American indian and Alaska Native; and 0.3% Native Hawaiian and Other Pacific Islander. A total of 23,110 persons, or 34.2% of the Census population were identified as Hispanic or Latino (of any race). Source: US Census Bureau, April 2, 200? Table 1: CitY Of yuStin Year 2000 Decenni. al CensUs;Data , Ethnicity POPULATION. 2000 ~ :;67i504 '100% White 39,649 58.70% Some Other Race 12,113 17.90% Asian 10,058 14.90% Two or More Races 3,073 4.60% Black or African American 1,970 2.90% American Indian and Alaska Native 448 0.70% Native Hawaiian and Other Pacific Islander 203 0.30% Hispanic or LatinO of AnY Race .. 34.20% 3. Housing Mix &Tenure The State (Finance Department) Demographic Research Unit estimates that, as of January 1, 2003, there were a total of 25,745 housing units within the City. Of these, there were 8,290 single family detached units, 3,488 attached single family units, 3,836 multi-family units in 2-4 unit buildings and 9,223 multi-family units in 5 plus unit buildings and 908 mobile homes. Unoccupied units (1,677) accounted for 6.5 percent of the total available housing stock. While tenure information is not available from the State, the 2000 census identified that approximately 49.7 percent of the City's occupied units were owner-occupied and 50.3 percent were renter occupied. PREPARED BYPACIFIC RELOCATION CONSULTANTS PAGE 4 A. PROJECT IMPACTS The Project, at this time, requires the proposed acquisition of a total of four occupied land parcels and potential displacement of 3 residential households, 14-16 care facility residents and 9 commercial uses. B. SURVEY SCOPE AND METHODOLOGY Efforts to obtain Information directly from potentially affected residential occupants of the Project were frustrated by legal counsel for the owner of the care facility. There is a record of correspondence that memorializes the interchange between the City, PRC and legal counsel on this issue. The limited information which is available concerning care facility and residential occupants is based on interviews conducted with the facility owner over the last 24 months and impressions of the real property appraiser who physically surveyed the properties subject to possible acquisition. Information regarding the existing businesses uses was obtained through personal interviews conducted with 8 of the 9 business potentially affected by the Project. The range of survey questions addressed to business owners included general occupancy information, contact names, business description, number of employees, income data, space usage, improvements, relocation plans or preferences and general observations about the business. Sample interview forms for both residential and business occupants are presented as Exhibit B & C to the Plan. C. RESIDENTIAL SURVEY RESULTS 1. Residential Care Facility Occupants The Tustin Hacienda Care Home is an 83 bed assisted living facility. The physical premises are divided on three properties: 1) A main facility at 240 East Third Street currently contains dining facilities and living accommodations for residential care facility clients which is not part of the proposed acquisition, and 2) two additional properties to the east of the main facility at 280-284 East Third Street and 320-324 S, Preble, proposed for acquisition, which were built originally as triplexes and converted to provide additional beds for the adjacent residential care facility. The current client population at these two properties is assumed to be 14-16 individuals. Rents are in the vicinity of $900 per month for a semi-private room and most individuals are assumed to be financially dependent on PREPARED BY PACIFIC RELOCATION CONSULTANTS PAGE 5 limited fixed incomes. 2. Residential Occupants The three triplex units located at 330-334 S. Prebie, proposed for acquisition, contained three 2 bedroom apartments, based on the most recent appraisal report. By appearances from the street, each unit appears to be occupied. It is assumed based on appraisal information that a member of each of the residential households is an employee of the Tustin Hacienda residential care facility. As has been previously indicated, no information was provided for this Plan concerning rents charged to residential occupants nor, by extension, the extent to which rents may be offset as a function of employment at the care facility. A survey of unit rents on Preble Drive did, however, indicate a range of between $750 and $950 for similarly sized two-bedroom units. 3. Related Issues a. Occupancy/Overcrowding Overcrowding is defined by either State Building Code or typical public housing authority standards. The generally acceptable 2+1 norm allows two persons per bedroom and one person in a sleeping roor~ other than a bedroom. The means for mitigating overcrowding is to relocate affected households to larger sized units. In the subject Project, any overcrowding which may be occurring, will be among the residential occupants of the tdplex units. b. Replacement Housing Needs In general, replacement housing needs are expressed in terms of numbers of units needed by bedroom size and type of construction2 Bedroom size requ!reme nts are a function of current housing circumstances and the necessity, if any, to increase housing size due to overcrowding. The relocation guidelines require that displacees be offered affordable housing opportunities similar in size and type of construction to their current accommodations. Specialty accommodations such as those offered by a board and care facility may be judged more appropriately on the basis of functional equivalency rather than size or other particular attributes. At a minimum, the replacement housing needs for the Project are 3 two-bedroom apartments (for the three households currently occupying triplex units) and as many See P. 14 for a complete definition of Comparable Replacement Dwelling PREPARED BY PACIFIC RELOCATION CONSULTANTS PAGE 6 as 16 rooms in a board and care facility, For board and care facility clients, the definition of similar existing circumstances is assumed to be a semi-private accommodation in a residential board and care facility. c. Income Income levels are standardized by jurisdiction on a yearly basis by the U.S. Department of Housing and Urban Development (HUD). The 2003 standards for Orange County are shown in Exhibit A to the Plan. While the existing property owner for the board and care facility and their attorney would not recently authorize access to the Agency's relocation consultant to interview board and care facilityclients subject to being relocated as a consequence of the proposed acquisition, the property owner did provide information to the City's appraiser in 2002 that the majority of the care facility occupants at 280-284 East Third Street and 320-324 S, Preble were on SSI or were very low income residents. d. Ethnicity/Language No data are available for reasons previously discussed. e. Senior and Disabled Households The assumption is that all of the potentially displaced care facility residents are 62 years of age or older. Disability issues will be evaluated as soon as personal interviews can be arranged. Proximity to medical service providers and family would be certain issues of significance to address, as well. f, Preferred Relocation Areas More will have to be known on the basis of personal interviews before any conclusions are reached about the Iocational preferences of care facility residents. In the case of triplex residents, however, since these, presumably, include employees of Hacienda Care, it can be assumed there would be interest in remaining as close to the facility as possible. PREPARED BY PACIFIC RELOCATION CONSULTANTS PAGE 7 D. BUSINESS SURVEY RESULTS The office complex which would be acquired for the Project presently accommodates 9 commercial uses, each of which is located in either a single 300 square foot office suite or combination of suites. General information concerning the affected businesses is shown below in Table 2. Table 2: DescriPtion of Business Uses ; ' Name/Address Use Move-In Monthly Approx No of Date RentJSF Size in sf Employees Value Price Tribe Investments General investments 03/01/03 $400.00 300 2 285 E Main St., Ste. 1 $1.33 California Weekly Explorer, Inc. Involved with schools & unk unk 1200 unk 285 E Main St., Ste. 2, 3, 4 & 5 student programs JRV Engineering, Inc. Civil engineer 01/01/99 $670.00 600 2 285 E Main St,, Ste, 6 & 7 $1.12 William J. M. Monsanto, P.A. Tax preparation and 12/01102 $375.00 300 1 285 E Main St,, Ste. 8 consulting $1.25 Network Support Group Computer software 08/01/02 $375.00 300 2 285 E Main St., Ste, 9 consultants $1.25 The Rcof Group, [nc. Consulting, inspections, 03/01/03 $395.00 300 2 285 E Main St., Ste. 10 maintenance & repair of roofs $1.32 Chris Kiperman Bail Bonds Bail bonds 03/01/03 $375.00 300 1 285 E Main St., Ste. 11 $1.25 Seiko Pool Co. Pool contractor 07/01/76 $345.00 300 2 285 E Main St., Ste, 12 $1,15 ASERVCO, Inc, Homeowner Association 01/01/86 $355.00 300 1 285 E Main St., Ste. 13 Management $1.18 PREPARED BY PACIFIC RELOCATION CONSULTANTS PAGE A. RESOURCE SURVEY METHODS The market for replacement residential and commercial resources was researched through the following sources: An Internet search using Loopnet.com Drive-by survey of Old Town and Civic Center areas Calls to local property managers, real estate brokers and residential care facilities B. REPLACEMENT HOUSING AVAILABILITY 1. Residential Care Facility Relocation Resources Table 3 exhibits residential care facilities in Orange County with available private and semi- private accommodations. Eight of the facilities identified are located in the City of Tustin. Table 3i VaCancie~ AmOng Certain Orange County Residentiai Care FaCilities Facility Name, City # of Beds # of Units Private Room Semi Private Available Fee Room Fee Anaheim Village, Anaheim 130 10 $1,200 Emerald Court, Anaheim 46 (assisted) 10 $2,200 $1,950 Emerald Court, Anaheim 157 (independent) 3 $2,200 $1,950 Autumn Years, Anaheim 46 6 $3,700 $3,500 Anaheim Garden, Anaheim 248 14 $1,400 $1,350 Orange Park Guest Home, Anaheim 20 1 $2,000 $1,500 Kennedy Home Care, Buena Park 6 3 $2,000 $1,500 Pilgrim Faith Home Care, Buena Park 6 1 $1,500 $1,200 Orange Coast Villa, Costa Mesa 112 25 $1,650 $1,200 Autumn Years, Costa Mesa 46 2 $3,700 Mesa Verde, Costa Mesa 80 2 $2,100 Silverado Senior Living, Costa Mesa 82 3 $7,400 $4,500 Heathers, Costa Mesa & Newport 53 7 $4,500 $3,200 Beach KirkWood Assisted Living, Orange 18 1 $2,750 Assured Horizons (#1), Tustin 6 I $3,400 PREPARED BY PACIFIC F~ELOCA TION CONSULTANTS PAGE Facility Name, City # of Beds # of Units Private Room Semi Private Available Fee Room Fee Assured Horizons (#2), Tustin 6 2 $3,400 Assured Horizons (#3), Tustin 6 1 $3,000 Gilda's Guest Home, Tustin 1 1 $1,200 Golden Years Guest Home, Tustin 6 2 $1,200 Magello Guest Home (#1), Tustin 6 2 $2,400 $1,900 Magello Guest Home (#2), Tustin 6 1 $1,900 Magello Guest Home (#3), Tustin 6 1 $2,400 Total Available and Fee Range 98 $1,400-$7,400 $1,200-$4,500 2. Rental Housing Table 4 summarizes resource survey data obtained during the week of July 7, 2003 with respect to the availability and cost of two-bedroom rental units in close proximity to the Project. Table 4: Availability and Cost Of Replacement Rental Housing Bedroom Size Two # Found (# needed) 11 (3) Rent Range $995-$1,270 Distance to Hacienda Ca[e 1-1.7 miles 3. Commercial Relocation Resources The resource survey conducted to identify available commercial space was undertaken mostly by drive-by searches and follow-u p conversations with property managers during the week of July 7, 2003. This followed a geographically wider internet search conducted a week earlier. The physical search was concentrated specifically in Tustin because this is where most business owners prefer to be located. During the physical surveywithin the Tustin area, 11 facilities were identified with available space ranging from 192 square feet to 2000 square feet and beyond. Seven of the 1 1 units were 300 square feet or less. Rents for these units ranged from $1.35 per square foot to as much as $3.20 per square foot for executive office facilities. PREPARED BY PACIFIC RELOCATION CONSULTANTS PAGE '~ 0 4. Conclusions Survey data indicate there will be sufficient rental and residential care facility vacancies available to meet the replacement needs which are likely to arise from development of the proposed Project. This conclusion is reached balancing the fact that while precise needs have had, by necessity, to be assumed because the care facility owners and their legal counsel would not authorize tenant contacts, the overall number of required replacement residential units appears modest relative to general market availability. The residential care facilities listed in Table 3 represent those which provided information about current vacancies; they are a small percentage of the more than 500 residential care facilities located in Orange County (the County). Altogether, the City of Tustin has 20 residential care facilities, eight of which have present vacancies and are listed in Table 3. If the Project were to go forward, persistent surveying of facilities in Tustin and throughout the County would become a priority. There is no intention in this Plan to suggest that vacancy figures themselves are the only relevant factor with respect to the re-accommodation of potential care facilitydisplacees or triplex households. It is clearly understood that a transition in care provisions for Hacienda Care clients would be a serious matter requiring special care and attention. Proximity to work for those households in triplex units that have care facility employees c~rtainly presents potential issues, as well, that would require consideration in the relocation process. It appears, from physical surveys, that potentially displaced businesses can expect to find a reasonable inventory of available, nearby small office space. Those uses willing to consider expanding their search beyond the immediate City of Tustin area, can certainly expect to have numerous site replacement options. PREPARED BY PACIFIC REL OCA TION CONSULTANTS PAGE A. INTRODUC~ON The relocation program will be implemented in accordance with the applicable provisions of the California Relocation Assistance Law (California Government Code Section 7260, et. seq.) and the California Relocation Guidelines (25 California Code of Regulations, Chapter 6, Section 6000 et. seq.). The relocation program provides for both advisory and financial assistance. Determinations as to eligibility for assistance and benefits will be made on a case-by-case basis according to individual circumstances and applicable statutory and regulatory criteria. B. RELOCATION ADVISORY ASSISTANCE PROGRAM The requirements of the relocation assistance advisory program will be: To fully inform eligible persons as to, the nature of, and procedures for obtaining relocation assistance and benefits To determine the needs of each residential and business displacee eligible for assistance To provide eligible residential displacees with an appropriate number of referrals to comparable, decent, safe and sanitary housing units within a reasonable time prior to displacement and ensure that no eligible occupant is required to move without a minimum of 90 days advance written notice To provide current and continuous information concerning residential and commercial replacement sites To provide assistance that does not result in different, or separate treatment due to race, color, religion, national origin, sex, marital status or other arbitrary circumstances To supply information concerning federal, and state housing programs and other governmental programs providing assistance to relocated persons 7. To assist each eligible person complete applications for benefits PREPARED BY PACIFIC RELOCATION CONSULTANTS PAGE To assist each eligible residential displacee obtain and move to a comparable replacement dwelling To assist each eligible business displacee obtain and become established at a suitable replacement location 10. To calculate relocation assistance and Last Resort Housing payments in accordance with State Guidelines 11. TO inform all displaced persons of the Agency's policies with regard to eviction and property management 12. To establish and maintain a formal grievance procedure for use by relocated persons seeking administrative review of the Agency's decisions with respect to relocation assistance Personal interviews will be conducted to gather information concerning the individual circumstances of each displacee and to dispense and review a written informational brochure (see Exhibits D and E) that explains the Agency's residential and commercial relocation programs. Brochures in Spanish will be furnished upon request. Within 30 days of the initial interview and the receipt of required support data (income information, confirmation of occupancy, etc.), each residential displacee (tenants and owner-occupants) will be provided with a written Notice-of-Eligibility. The Notice-of-Eligibility will provide, at least one replacement housing referral and establish a maximum relocation assistance eligibility amount for the household addressed. The factors used to determine the maximum assistance amount will be described in the Notice-of-Eligibility and explained personally by the assigned relocation consultant. Prior to relocation of residential occupants, every reasonable effort will be made to provide at least three (3) comparable replacement housing referrals to displacees, pursuant to California Code of Regulations, Chapter 6, Section 6042(c). In no event shall a residential displacee be required to move until comparable housing is made available. Referrals will be provided on a continual basis over the duration of the project. Transportation will be provided, if necessary, to inspect replacement sites within the local area. Generally, a comparable replacement dwelling must satisfy the following criteria: (a) The unit is decent, safe and sanitary - electrical, plumbing and heating systems in good repair - no major, observable hazards or defects. The unit is comparable to PREPARED BY PACIFIC RELOCATION CONSULTANTS PAGE 13 the acquired dwelling with respect to number of rooms, habitable living space and type and quality of construction, but not lesser in rooms or living space as necessary to accommodate the displaced person. The unit Es located in an area notsubjected to unreasonable adverse environmental conditions from either natural, or man-made sources, and not generally less desirable with respect to public utilities, transportation, public and commercial facilities, including schools and municipal services and reasonably accessible to the displaced person's place of employment. (c) The unit is available both on the private market and to all persons regardless of race, color, sex, marital status, religion or, national origin. (d) The monthly rental rate is within the financial means of the displaced residential tenant Special assistance in the form of referrals to governmental, and non-governmental social service agencies will be made, if needed. Agencies to which referrals may be made include, but are not necessarily limited to the: (a) Federal Social Security Administration (b) Orange County Housing Authority (c) Orange County Youth & Family Services (d) Orange County Transportation Authority Business owners will be assisted to obtain those professional services necessary to help locate replacement sites and plan and execute their move. Every reasonable effort will be made to facilitate the relocation of residential tenants and businesses with minimum of delay and hardship. C. RELOCATION BENEFITS (Residential Displacees) Relocation benefits will be provided in accordance with the provisions of the State of California Relocation Law, Government Code Section 7260 et. seq., Title 25, Chapter 6, Relocation Assistance and Real Property Acquisition Guidelines, and Countyrules, regulations and procedures pertaining thereto. Benefits will be paid to eligible displaced persons upon submission of required claim forms and documentation in accordance with Agency adopted procedures. Specific eligibility requirements and benefit plans will be detailed on an individual basis with all displacees. In the course of personal interviews and follow-up visits, each household will be counseled as to available options and the consequences of any choice with respect to financial PREPARED BY PACIFIC F~ELOCA TION CONSUL TANTS PAGE assistance. Agency staff Will consider advance payment requests meant to alleviate hardships for households without access to sufficient funds to pay rental move-in costs or open escrow accounts for the purchase of a replacement dwelling. Responses to advance payment requests will be made expeditiously to help avoid the loss of desirable, appropriate replacement housing. 1. Residential Moving Expense Payments All residential occupants to be relocated will be eligible to receive a payment for moving expenses except as noted. Moving expense payments will be made based upon the actual cost of a professional move or a fixed payment based on room count. a. Actual Cost (Professional Move) Displacees may elect to receive compensation for professional moving services based upon the lower of, at least, two acceptable bids from licensed vendors. The County may also elect to obtain a bid for the move from a qualified mover. The actual cost of the move will be paid directly by the Agency to the moving company, at the request of the displacee. Transportation costs are limited to a distance of 50 miles, except v~here relocation beyond such distance is justified. In addition to the actual move, costs associated with utility re-connections (i.e., gas, water, electricity, telephone, and cable, if any), are eligible for reimbursement. b. Fixed Payment (based on Room Count Schedule) A displacee may elect to receive a fixed payment for moving expenses based on a room count in the displacement dwelling. A displacee who elects to receive a fixed moving payment takes full financial responsibility for the move and all utility connection expenses. The current schedule for fixed moving payments is set forth in Table § following: PREPARED BY PACIFIO RELOCATION CONSULTANTS PAGE 15 Table 5: Schedule of Fixed MoVing payments unfurnished DWelling One room $575 Two rooms $750 Three rooms $925 Four rooms $1,100 Five rooms $1,325 Six rooms $1,550 Seven rooms $1,775 Eight rooms $2,000 each additional room $200 First Room I $375 Each additional room I $60 2, Rental Assistance To 90-Day Residential Tenants Who Re-Rent Residential tenants who have established their residency within the Project area for a minimum of 90 days prior to the initiation of negotiations (i.e. the first written offer to purchase the property on which they reside), and who choose to re-rent, may be eligible to receive a rental assistance payments in addition to a moving expense payment. Except in the case of "Last Resort" situations, as described in Section IV, (See G- Last Resort Housing Payments) and, pursuant to California Relocation Law, Rental Assistance Payments are limited to a maximum of $5,250.00, based upon the monthly housing need over a forty-two (42) month period. The Table 6, following, shows how monthly need is determined: PREPARED BY PACIFIC RELOCATION CONSULTANTS PAGE Table 6: Computation of Rental AsSistance;Payments J I $544 I Old Rent, plus Utility Allowance Old Rent Or, Ability to Pay $445 I 30% of the Gross Household Income* 2. 3. Lesser of lines 1 or 2 $445 Subtracted From: 4. Actual New Rent I $550 I Actual New Rent including Utility Allowance Comparable Rent $575 J Determined by City; includes UtJ[ityAllowance 5. 6. Lesser of lines 4 or 5 $550 7, Yields Monthly Need: $'105 Subtract line 3 from line 6 Rental Assistance $4,4'10 Multiply line 7 by 42 months Gross income means Ihe total annual income of an ~ndividual less the followin[z: (1) a deduction of $500.00 for each dependent in excess of three; (2) a deduction of 10% of total income for the elderly or disabled head of household; (3) a deduction far recurring extraordinary medical expenses defined for this purpose to mean medical expenses in excess of 3"/0 of legal income, where not compensated for, or covered by insurance or other sources; (4) a deduction of reasonab)e amounts paid for the care of children or sick or incapacitated family members when de~em~ined to be necessary to employment of the head of household or spouse, except that /he amount deducted shall not exceed the amount of income received by the person who would not otherwise be able to seek employment in the absence of such care. 3. Downpayment Assistance To 90-Day Tenants Who Choose to Purchase Residential tenants who are otherwise eligible to receive a Rental Assistance Payment as described above, may choose to utilize up to the full amount of their rental assistance eligibility amount (including Last Resort benefits) to purchase a home. in cases involving eligibility for a Last Resort Housing supplement, theAgency will arrange to deposit in an escrow account, the total amount of assistance for which a tenant qualifies, provided that the entire amount is used for the down payment and eligible, incidental costs associated with the purchase of a replacement home. Provision shall be made in the accompanying escrow instructions for the return of Agency funds, in the event escrow should fail to close within a reasonable period of time. 4. Payments To Non-Tenured Residential Tenants With the exception of those eligible for Last Resort Housing assistance (See Section IV, Part G - Last Resort Housing), residential tenants with less than 90 days of continuous occupancy prior to the Agency's offer to purchase the property where they lawfully reside, will only be eligible to receive only a payment for their moving expenses in accordance with Section lb above. PREPARED BY PACIFIC RELOCATION CONSULTANTS PAGE 17 RELOCATION BENEFITS (Business Displacees) 1. Payment for Actual Reasonable Moving and Related Expenses The following expenses are authorized pending required approvals and submission of necessary documentation: 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; Packing, crating, uncrating, and unpacking personal property; Such storage of personal property, for a period generally not to exceed 12 months as determined by the Agency to be necessary in connection with the relocation; Disconnecting, dismantling, removing, reassembling, and installing relocated and substitute machinery, equipment and other personal property. This includes connection to utilities available nearby and modifications necessary to adapt such property to the replacement structure or to the utilities or to adapt the utilities to the personal pr0-perty; Insurance of personal property while in storage or transit and the replacement value of property lost, stolen, or damaged (not through the fault or negligence of the displaced person) in the process of moving, where insurance is not readily available; Subject to certain limitations, any license, permit, or certification required by the displaced business, to the extent that the cost is necessary for reestablishment at the replacement location; Subject to certain limitations, reasonable and pre-authorized professional services, including architects', attorneys', engineers' fees, and consultants' charges, necessary for: (1) planning the move of the personal property; (2) moving the personal property; or, (3) installing the relocated personal property at the replacement location; Subject to certain limitations, the purchase and installation of substitute personal property limited to the lesser of: (1) the estimated cost to move the item to the replacement location; or, (2) the replacement cost, less any proceeds from its sale · Subject to certain limitations, modifying the machinery, equipment or other personal PREPARED B Y PA CIFI C REL OCA TION CONSUL TAN TS PAGE 18 property to adapt it to the replacement location or to utilities available at the replacement location or modifying the power supply. Actual direct losses of tangible personal property resulting from moving or discontinuing a business or non-profit organization, not-to-exceed the lesser of: (1) the fair market value of the property for continued use at its location prior to displacement; or, (2) an amount equal to the reasonable expenses that would have been required to relocate the property, as determined by the Agency, subject to certain limitations; Actual and reasonable expenses incurred in searching for a replacement business or non-profit organization location, not-to-exceed $1,000, and including compensation for transportation expenses; time spent searching for a reasonable location; meals; lodging; and, real estate broker or agent fees. A Reestablishment allowance of up to a total of $10,000, available to farms, nonprofit organizations and small businesses of not more than 500 employees, payable, in addition to moving expense payments, for actual, reasonable and necessary expenses including, but 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 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 paneling or carpeting f) Licenses, fees and permits when not paid as part of moving expenses g) Feasibility surveys, soil testing and marketing studies h) Professional services in connection with the purchase or lease of a replacement site PREPARED BY PACIFIC F~EL OOA TION CONSULTANTS PAGE i) 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 j) Impact fees or one-time assessments for anticipated heavy usage k) Other items essential to the reestablishment of the business A Fixed Payment In Lieu of A Payment For Actual Reasonable Moving and Related Expenses The amount of this payment shall be based on the average, annual net earnings of the business or non-profit organization. The payment to an eligible business, or non-profit organization may not be less than $1,000, nor more than $20,000. To qualify for this payment a displaced business:- Cannot be a part of a commercial enterprise having at least three other establishments which are not being acquired by the Agency and which is under the same ownership and engaged in the same or similar business activities; and Must not be able to relocate without substantial loss of patronage; and, Must have contributed at least 33 1/3 percent of the owner's total gross income during each of the two (2) taxable years prior to displacement or meet specific earnings criteria. 3. Loss of Business Goodwill Incident to its relocation, a business may suffer financial consequences that are not compensable under relocation law. In such circumstances, a business may exercise its right under California law to make a claim for loss of business goodwill. Business goodwill consists of the benefits that accrue to a business as a result of its location; reputation for dependability, skill or quality; and, any other circumstances resulting in probable retention of old, or acquisition of new patronage. PREPARED B Y PACIFIC RELOCATION CONSULTANTS PAGE 20 To support a claim, State law (California Code of Civil Procedure Section 1263.510) requires business owners to prove ail of the following: (1) The loss is caused by the taking of the property; (2) The loss cannot reasonably be prevented by relocation of the business, or by taking steps and adopting procedures that a reasonably prudent person would take to preserve the goodwill; and, (3) The compensation for the loss has not been included as a relocation payment, or duplicated in compensation otherwise awarded to the owner. E, GENERAL INFORMATION ON PAYMENT OF RELOCATION BENEFITS Eligible displacees have a total of 18 months within which to file for benefits. To qualify for benefits, residential displacees must occupy an appropriate replacement dwelling no later than one year following the later of: a) the date the claimant moves from the acquired property, or b) the date of the Agency's first referral to a comparable, replacement dwelling. The procedure for the preparation and filing of claims and the processing and delivery of payments will be as follows: Claimant(s) will provide all necessary documentation to substantiate eligibility for assistance to the Agency's relocation consultant. Recommended assistance amounts will be determined by the Agency's relocation consultant in accordance with the provisions of California Relocation Law. Required claim forms will be prepared by the Agency's relocation consultant for claimant signature. Claims will be submitted by the Agency's relocation consultant for review, approval, and payment by Agency staff. Benefit checks will be issued to the relocation consultant for distribution to claimants. Final payments to residential occupants will be issued within a reasonable time after confirmation that the acquired premises have been completely vacated and residency at the replacement unit is verified. Receipts of payment will be obtained and archived by the Agency's relocation consultant in individual relocation case files. PREPARED BY PACIFIC RELOCATION CONSULTANTS PAGE 2'~ F. RELATED PROJECTISSUES 1. Concurrent Displacement There are no projects involving residential displacement close enough or on a scale large enough to significantly diminish the availability of adequate replacement housing resources for potential Project displacees. 2. Temporary Housing No need is anticipated for temporary housing. G. LAST RESORT HOUSING Residential tenant displacees will be entitled to consideration for supplementary benefits in the form of Last Resort Housing (LRH) assistance when the computed total of their replacement housing assistance eligibility exceeds $5,250 or when a tenant does not meet applicable occupancy requirements. Household income will be the sole basis for determining LRH benefits in the case of less than 90- Day tenant occupants and LRH recipients must meet the basic eligibility requirements applied to other displacees. All standard claim processing procedures will be applied to LRH payments including lump sum disbursement of approved benefits. The Agency may approve, at its discretion, alternative methods for providing LRH assistance, on a case-by-case basis, including, but not limited to, minor repairs to, rehabilitation of, and/or additions to an existing replacement dwelling, including the removal of barriers to the handicapped as may be necessary. H. RELOCATION TAX CONSEQUENCES In general, relocation payments are not considered income for the purpose of the Internal Revenue Code of 1968, or the Personal Income Tax Law, Part 10 of the Revenue and Taxation Code. Notwithstanding these provisions, recipients of relocation assistance benefits will be advised to consult with the appropriate tax authorities or personal tax advisors concerning the tax consequences of any relocation payment. I. GRIEVANCE POLICY AND PROCEDURES The Agency's Grievance Policy and Procedures will follow the standards described in Article 5, Section 6150 et seq., TitIe 25, Chapter 6, of the California Department of Housing and Community PREPARED BY PACIFIC RELOCATION OONSULTANTS PAGE 22 Development Program guidelines. Briefly stated, all residential and commercial displacees have the right to ask for administrative review when they believe themselves aggrieved by a determination as to eligibility; the amount of a relocation payment; the failure, by the Agency, to provide comparable replacement housing referrals; or, the Agency's property management practices. J. EVICTION POLICY 1. Eviction will be undertaken only for one, or more of the following reasons: (a) Failure to pay rent, except in those cases where the failure to pay is due to the owner's failure to keep the premises in habitable condition; is the result of harassment or retaliatory action; or, is the result of discontinuation, or a substantial interruption of services; (b) Performance of a dangerous, and/or illegal act in the unit; (c) A material breach of the rental agreement, and failure upon notification to correct said breach within 30 days of Notice; (d) Maintenance of a nuisance, and failure to abate such nuisance upon notification within a reasonable time following Notice; (e) Refusal to accept one of a reasonable number of offers of replacement dwellings; and/or, (f) A requirement under State, or local law or emergency circumstances that cannot be prevented by reasonable efforts on the part of the Agency. With the exception of persons considered to be in "unlawful occupancy" (See CCR 6008 [v]), a displaced person's eviction will not affect eligibility for relocation assistance and benefits. K. CITIZEN PARTICIPATION The Agency will observe the following protocol: Provide public at large and affected parties full and timely access to documents relevant to the relocation program; 2. Provide technical assistance necessary to interpret elements of the Plan and other PREPARED BY PACIFIC RELOCATION CONSULTANTS PAGE 23 pertinent materials; issue a general notice concerning the availability of the Plan for public review, as required, 30 days prior to its proposed adoption. Distribute the Plan, upon request, to all affected and interested parties; Include the written or transcribed oral comments received concerning the Plan as an attachment to the Plan when it is forwarded to the City Council for approval. L. PROJECTED DATES OF DISPLACEMENT Relocation of all residential and commercial tenants is expected to be completed by the eqd of the second quarter 2004. M. ESTIMATED RELOCATION COSTS Estimated relocation costs for the Project are $775,000. PREPARED BY PACIFIC RELOCATION CONSULTANTS PAGE 24 nge County of Ora Area Median: ·$75,600 April, 2003 Family Extremely Very Low Lower Median Moderate Size Low 1 Person 15,900 26,450 39,550 52,900 63,500 2 Person 18,150 30,250 45,200 60,500 72,550 3 Person 20,400 34,000 50,850 ; 68,050 81,650 4 Person, 22,700 37,800 56,500 75,600 90,700 5 Person 24,500 40,800 61,000 81,650 97,950 6 Person 26,300 43,850 65,550 ,87,700 105,200 7 Person 28,100 46,850 70,050 93,750 112,450 8 Person 29,950 49,900 74,600 99,800 119,700 PACIFIC RELOCATION CONSULTANTS - RESIDENTIAL INTERVIEW FORM CASE ID: PROJECT: AGENCY: CONSULTANT: OCCUPANT INFORMATION: DWELLING: MAJOR EVENTS: Claimant(s): Monthly Payment: $ Site Move-in: / / I First Offer: / / Number of Bedrooms: Address: Initial Interview:. / / Total Number of Rooms: UTILITIES PAID BY: Home Phone: ~i Bedrooms Needed: Gas: [] Tenant [] Owner Electric: [] Tenant [] Owner Wark Phone: (___).__ [] Furnished Dwelling Water: [] Tenant [] Owner Social Sec. #: OCCUPANCY STATUS: [] Rent [] Lease [] Mortgage [] Own (Clear) [] Vacant [] No Contact DWELLING TYPE: [] Single Family Residence [] Duplex [] Apartment [] Condo/Townhouse [] Hotel/Motel [] Mobile Home ETHNICITY: [] White E~ Hispanic [] Black [] Asian [] Other: PRIMARY LANGUAGE: [] English [] Spanish [] Other: OCCUPANT INFORMATION: [] Elderly Household [] Handicapped Household [] Housing Assistance: $ [] Willing to Relocate from Community Special Features/Improvements: Area/Unit Preference: NAME (FIRST, LAST) SEX AGE MONTHLY INCOME Notes (r. lation, em ploym .nt, sch=o~, transportation, handicap, .tc. } 1 M F $ 3 MF $ 5 MF $ PACIFIC RELOCATION CONSULTANTS - BUSINESS INTERVIEW FORM CASE ID: AGENCY: Claimant: (Business Name) Address: Site Owner: NAME CONTACT 1: OCCUPANTINFORMATION: PROJECT: CONSULTANT: TITLE MAJOR EVENTS: Site Move-in: / First Offer: / Initial Interview: / PHONE ( CONTACT2: OWNERSHIP TYPE: [] Sole Proprietorship OCCUPANCY STATUS: [] Rent [] Lease ETHNICITY: [] White [] Hispanic PRIMARY LANGUAGE: [] English [] Spanish Business Description: Special Features/improvements: Area/Facility Preference: [] Partnership [] Corporation [] Non-Profit [] Mortgage [] Own (Clear) [] Vacant [] Black [] Asian [] Other: [] Other: [] No Contact [] Relocate Business [] Willing to Relocate from Community Monthly Occupancy Payment: $ Federal Tax ID: Number of Employees: Annual Gross Sales: $ Annual Net Income: $ FAClLITYAREA (SQ.FT): Office/Retaik Whse/Shop: Open Yard: 1. GENERAL INFORMATION 2. ASSISTANCE IN LOCATING A REPLACEMENT DWELLING 3. MOVING BENEFITS 4. REPLACEMENT HOUSING PAYMENT -TENANTS AND CERTAIN OTHERS 5. REPLACEMENT HOUSING PAYMENT - HOMEOWNERS 6. QUALIFICATION FOR AND FILING OF RELOCATION CLAIMS 7. LAST RESORT HOUSING ASSISTANCE 8. RENTAL AGREEMENT 9. APPEAL PROCEDURES - GRIEVANCE 10, TAX STATUS OF RELOCATION BENEFITS 11. LEGAL PRESENCE REQUIREMENT 12, ADDITIONAL INFORMATION AND ASSISTANCE AVAILABLE I. GENERALINFORMATION The building in which you now live is in an area to be improved by the Tustin Redevelopment Agency ("Displacing Agency"). As the project schedule proceeds, it will be necessary for you to move from your dwelling. You will be notified in a timely manner as to the date by which you must move. Please read this information as it will be helpful to you in determining your eligibility and the amount of your relocation benefits under the federal and/or state law. We suggest you save this informational statement for reference. The Agency has retained the services of Pacific Relocation Consultants (PRC), a qualified professional relocation firm, to assist you. The firm is available to explain the program and benefits. Their address and telephone number is: Pacific Relocation Consultants 100 West Broadway, Suite 500 ' Long Beach, California 90802 Telephone: (800) 400-7356 Spanish speaking representatives are available. Si necesita esta informaci6n en Espafiol, por favor llama a su representante. PLEASE DO NOT MOVE PREMATURELY. THIS IS NOT A NOTICE TO VACATE YOUR DWELLING. However, if you desire to move sooner than required, you must contact your representative with PRC so you will not jeopardize any benefits. This is a general informational brochure only, and is not intended to give a detailed description of either the law or regulations pertaining to the Agency's relocation assistance program. Residential Informational Statement Page I II. ASSISTANCE IN LOCATING A REPLACEMENT DWELLING The Agency, through its representatives, will assist you in locating a comparable replacement dwelling by providing referrals to appropriate and available housing units. You are encouraged to actively seek such housing yourself. When a suitable replacement dwelling unit has been found, your relocation consultant will carry out an inspection and advise you as to whether the dwelling unit meets decent, safe and sanitary housing requirements. A decent, safe and sanitary housing unit provides adequate space for its occupants, proper weatherproofing and sound heating, electrical and plumbing systems. Your new dwelling must pass inspection before relocation assistance payments can be authorized. III, MOVING BENEFITS If you must move as a result of displacement by the Agency, you will receive a payment to assist in moving your personal property. There are two types of moving payments. You have the option of selecting either one of the following types of moving payments: A, Fixed Moving Payment A Fixed Moving Payment is based upon the number of rooms you occupy and whether or not you own your own furniture. The payment is based upon a schedule approved by the Agency, and ranges, for example, from $375.00 for one furnished reo m to $2,000.00 for eight rooms in an unfurnished dwelling. (For details see the table below). Your relocation representative will inform you of the amount you are eligible to receive if you choose this type of payment. Occupant owns furniture Occupant does NOT own furniture 1 room $575.00 1 room $375.00 2 moms $750.00 each additional mom $60.00 3 moms $925.00 4 moms $1,100.00 5 rooms $1,325.00 6 rooms $1,550.00 7 rooms $1,775.00 8 rooms $2,000.00 each additional room $200.00 If you select a fixed payment, you will be responsible for arranging foryour own move and the Agency will assume no liability for any loss or damage of your personal property. B, Actual Moving Expense (Professional Move) Resideniial Informational Statement Page 2 ~ If you wish to engage the services of a licensed commercial mover and have the Agency pay the bill, you may claim the ACTUAL cost of moving your personal property up to 50 miles. Your relocation representative will inform you of the number of competitive moving bids (if any) which may be required, and assist you in developing a scope of services for Agency approval. IV. REPLACEMENT HOUSING PAYMENT -TENANT5 AND CERTAIN OTHER5 You may be eligible for a payment of up to $5,250.00 to assist you in renting or purchasing a comparable replacement dwelling, in order to qualify, you must either be a tenant who has occupied your present dwelling fora least 90 days prior to the Agency's first offer to purchase the property or an owner who has occupied your dwelling for between 90 and 180 days prior to the Agency's first offer to purchase the property. Rental Assistance. If you qualify, and wish to rent your replacement dwelling, your rental assistance benefits will be based upon the difference over a forty-two (42) month period between the rent you must pay for a comparable replacement dwelling and the lesser of your current rent or thirty percent (30%) of your gross monthly household income. You will be required to provide your relocation representative with monthly rent and household income verification priortothe determination of your eligibility for this payment. -OR - Down-payment Assistance, If you qualify, and wish to purchase a home as a replacement dwelling, you can apply up to the total amount of your rental assistance payment towards the down-payment and non-recurring incidental expenses. Your relocation representative will clarify procedures necessary to apply for this payment. REPLACEMENT HOUSING PAYMENT - HOMEOWNERS If you owned and occupied a dwelling purchased by the Agency for at least 180 days prior to the first offer to purchase, you may be eligible to receive a payment of up to $22,500.00 to assist you in purchasing a comparable replacement unit. If you owned and occupied the displacement dwelling for at least 90 days but not more than 180 days immediately prior to the date of the Agency's offer to purchase, you may be eligible for a payment of up to $5,250.00. This payment is intended to cover the following items; Purchase Price Differential - An amount which, when added to the amount for which the Agency purchased your property, equals the lesser of the actual cost of your replacement dwelling; or the amount determined by the Agency as necessary to purchase a comparable replacement dwelling. Your relocation representative will explain both methods to you. Mortgage Interest Differential- The amount which covers the increased interest costs, if any, required to finance a replacement dwelling. Your relocation representative will explain limiting conditions. Incidental Expenses - Those one time costs incidental to purchasing a replacement unit, such as escrow fees, recording fees, and credit report fees. Recurring expenses such as prepaid taxes and insurance premiums are not compensable. Rental Assistance Option - If you are an owner-occupant and choose to rent rather than purchase a replacement dwelling, you may be eligible for a rental assistance payment of up to $5,250.00. The Residential Informational Statement Page 3 payment will be based on the difference between the fair market rent of the dwelling you occupy and the rent you must pay for a comparable replacement dwelling. If you receive a rental assistance payment, as described above, and later decide to purchase a replacement dwelling, you may apply for a payment equal to the am ount you would have received if you had initially purchased a comparable replacement dwelling, less the amount you have alreadyreceived as a rental assistance payment. VI. QUALIFICATION FOR AND FILING OF RELOCATION CLAIMS To qualify for a Replacement Housing Payment, you must rent or purchase and occupy a comparable replacement unit within one year from the later of the following: 1. For a tenant, the date you move from the displacement dwelling For an owner-occupant, the date you receive final payment for the displacement dwelling, or, in the case of condemnation, the date the full amount of estimated just compensation is deposited in court, or 3. The date the Agency fulfills its obligation to make available comparable replacement dwellings. All claims for relocation benefits must be filed with the Agency within eighteen (18) months from the date on which you receive final payment for your property, or the date on which you move, whichever is later. VII. LAST RESORT HOUSING ASSISTANCE If comparable replacement dwellings are not available when you are required to move, or if replacement housing is not available within the monetary limits described above, the Agency will provide Last Resort housing assistance to enable you to rent or purchase a replacement dwelling on a timely basis. Last Resort housing assistance is based on the individual circumstances of the displaced person. Your relocation representative will explain the process for determining whether or not you qualify for Last Resort assistance. If you are a tenant, and you choose to purchase rather than rent a comparable replacement dwelling, the entire amount of your rental assistance and last resort eligibility must be applied toward the down-payment of the home you intend to purchase. VIII. RENTAL AGREEMENT As a result of the Agency's action to purchase the property where you live, you may become a tenant of the Agency. If this occurs, you will be asked to sign a rental agreement which will specify the monthly rent to be paid, when rent payments are due, where they are to be paid and other pertinent information. Except for the causes of eviction set forth below, no person lawfully occupying property to be purchased by the Agency will be required to move without having been provided with at least 90 days written notice from the Agency. Eviction will be undertaken only in the event of one or more of the following infractions: Failure to pay rent; except in those cases where the failure to pay is due to the lessor's failure to keep the premises in habitable condition, is the result of harassment or retaliatory action or is the result of discontinuation or substantial interruption of services; Residential Informational oetatement Page 4 Performance of dangerous illegal act in the unit; Material breach of the rental agreement and failure to con'ect breach within 30 days of notice; Maintenance of a nuisance and failure to abate within a reasonable time following notice; Refusal to accept one of a reasonable number of offers of replacement dwellings; or The eviction is required by State or local law and cannot be prevented by reasonable efforts on the part of the public entity. IX. APPEAL PROCEDURES - GRIEVANCE Any person aggrieved by a determination as to eligibility for a relocation payment, or the amount of a payment, may have his/her claim reviewed or reconsidered in accordance with the Agency's appeals procedure. Complete details on appeal procedures are available upon request from the Agency. X. TAX STATUS OF RELOCATION BENEFITS Relocation benefit payments are not considered as income for the purpose of the Internal Revenue Code of 1986 or the Personal Income Tax Law, Part 10 (commencing with Section 17001) of Division 2 of the Revenue and Taxation Code, or the Bank an d Corporation Tax law, Part 11 (commencing with Section 23001 ) of Division 2 of the Revenue and Taxation Code. XI. LAWFUL PRESENCE REQUIREMENT Pursuantto the Public Law 105-117 of 11-21-97, in order to be eligible to receive relocation benefits in federally- funded relocation projects, all members of the household to be displaced must provide information regarding their lawful presence in the United States. In federal projects, any member of the household who is not lawfully present in the United States or declines to provide this information, may be denied relocation benefits. Relocation benefits will be prorated to reflect the number of household members with certified lawful presence in the US. XII, ADDITIONAL INFORMATION AND ASSISTANCE AVAILABLE Those responsible for providing you with relocation assistance hope to assist you in every way possible to minimize the hardships involved in relocating to a new home. Your cooperation will be helpful and greatly appreciated. If you have any questions at any time during the process, please do not hesitate to contact your relocation representative. PRC · Jul 2C03 Residential Informational Statement Page 5 Introduction The property on which you now conduct your business is in an area to be improved with the assistance of the Tustin Redevelopment Agency ("Displacing Agency"). The Agency's plans require the acquisition of several land parcels and the relocation of existing commercial uses. You will be notified in a timely manner as to the date by which you must move. Please read this information as it will be helpful to you in determining your eligibility and the amount of your relocation benefits under the federal and/or state law. We suggest you save this informational statement for reference. This is not a notice to move. It is important that you do not move before you learn what you must do to receive relocation payments and other assistance to which you may be entitled. The Agency has retained the services of Pacific Relocation Consultants (PRC), a qualified professional relocation firm, to assist you. The firm is available to explain the program and benefits. Their address and telephone number is: Pacific Relocation Consultants 100 West Broadway, Suite 500 Long Beach, California 90802 Telephone: (800) 400-7356 Spanish speaking representatives are available. Si necesita esta informacien en Espafiol, per favor Ilame a su representante. Summary of Relocation Assistance As an eligible displaced person, you will be offered appropriate financial and advisory assistance to help you relocate, including: A. Payment for your moving expenses. You will receive either: A Payment for Actual Reasonable Moving and Related Expenses, or A Fixed Payment tn Lieu of a Payment for Actual Moving and Related Expenses Referrals to suitable replacement locations. Other help to reestablish your business and minimize the impact of the move including help in preparing claim forms to request relocation payments. If you disagree with the Agency's decision as to your right to a relocation payment, or the amount of the payment, you may appeal that decision. Businexs Informational Statement Page I SOME GENERAL QUESTIONS How will I know I am eligible for relocation assistance? Ordinarily, eligibility begins on the date the owner of the property receives the Agency's initial written offer to purchase it. Therefore, you should not move before that date. If you do, you may not be eligible for relocation assistance. How Will the Agency Know How Much Help I Need? You will be contacted at an early date and personally interviewed by a representative of the Agency to determine your needs and preferences for a replacement location and other services. The interviewer will ask questions about such matters as your space requirements. It Ss to your advantage to provide the information so that the Agency, through its relocation consultant, can assist you in moving with a minimum of hardship. The information you give will be kept in confidence. How Soon Will I Have to Move? Every reasonable effort will be made to provide you with sufficient time to find and reestablish your business in a suitable replacement location. If possible, amutuallyagreeabledateforthemovewillbeworkedout. Unless there is an urgent need for the property (e.g., your occupancy would present a health orsafety emergency), you will not be required to move without at least 90 days advance written notice. It is important, however, that you keep in close contact with the Agency so that you are aware of the time schedule for carrying out the project and the approximate date bywhich you will have to move. I Own The Property, Will l Be Paid For lt Before l Have To Move? If you reach a voluntary agreement to sell your property to the Agency, you will not be required to move before you receive the agreed purchase price, If the property is acquired through an eminent domain proceeding, you cannot be required to move before the estimated fair market value of the property has been deposited with the court. (You should be able to withdraw this amount immediately, less any amounts necessary to pay off any mortgage or other liens on the property and to resolve any special ownership problems. Withdrawal of your share of the money will not affect your right to seek additional compensation for your property). Will IHave To Pay Rent To The Agency Before IMove? You may be required to pay a fair rent to the Agency for the period between the acquisition of your property and the date that you move. Your rent and the terms of your tenancywill be generally the same as in the prior arrangement. How Will I Find A Replacement Location? The Agency will provide you with current and continuing information on available replacement locations that meet your needs. The Agency may also provide you with the names of real estate agents and brokers who can assist you in finding the type of replacement location you require. While the Agency will assist you in obtaining a suitable replacement location, you should take an active role in finding and relocating toalocation of your choice. No one knows your needs better than you. You will want a facility that provides sufficient space for your planned activities. You will also want to ensure that there are no zoning or other requirements which will unduly restrict your planned operations. Ask the Agency to explain which kind of moving costs are eligible for repayment and which a re not eligible. That will enable you to carry out your move in the most advantageous manner. What Other Assistance Will be Available To Help Me? In addition to help in finding a suitable replacement location, other assistance, as necessary, will be provided by the Agency. This includes information on Federal, State, and local programs that may be of help in reestablishing a business. For example, the Small Business Administration (SBA) provides managerial and technical assistance to some businesses. There may also be a govemment grant or loan program which can help you reestablish your business. The Agency will assist you in applying for help available from government agencies. The range of services Business Informational Statement Page 2 depends on the needs of the business being displaced. You should ask the Agency representative to tellyou about the specific services that will be available to you. I Have A Replacement Location And Want To Move. What Should I Do? Before you make any arrangements to move, notify the Agency, in writing, of your intention to move. This should be done at least 30 days before the date you begin your move. The Agency will discuss the move with you and advise you of the relocation payment(s) for which you may be eligible, the requirements to be met, and how to obtain a paym ant. I Plan To Discontinue My Business Rather Than Move. What Should lDo? If you have decided to discontinue your business rather than reestablish, you may still be eligible to receive a payment. Contact the Agency and discuss your decision to discontinue your business. You will be informed of the payment, if any, for which you may be eligible, the requirements to be met, and how to obtain your payment. What Kinds of Payments For Moving Expenses Will I Receive? Every business is entitled to a relocation payment to cover the reasonable cost of moving, You may choose either: A. A Payment For Actual Reasonable Moving and Related Expenses, or B. A Fixed Payment In Lieu of Moving and Related Expenses (if you meet the eligibility requirements). What is Payment For Actual Reasonable Moving And Related Expenses? If you choose a Payment For Actual Reasonable Moving And Related Expenses, you may claim the cost of: A. Transportation of personal property from your present location to the replacement location. (Generally, transportation costs are limited to a distance of 50 miles. If you plan to move beyond 50 miles, discuss your planned move with the Agency.) B. Packing, crating, uncrating, and unpacking personal property. C. Disconnecting, dismantling, removing, reassembling, and installing relocated and substitute machinery, equipment and other personal property; This includes connection to utilities available nearbyand modifications necessary to adapt such property to the replacement structure or to the utilities or to adapt the utilities to the personal property. This includes alterations to the replacement structure required to reinstall machinery, equipment or other personal property D. Storage of personal property for a reasonable period of time, if required, at the Agency's discretion. E. Insurance of personal property in connection with the move and required storage and the replacement value of property lost, stolen, or damaged in the process of moving where insurance is not readily available. F. Any license, permit or certification required by the displaced business, to the extent that the cost is (1) necessary to its reestablishment at the replacement location and (2) does not exceed the cost for the remaining useful life of the existing license, permit, or certification. G. Reasonable and preauthorized professional services, including architect's, attorney's, and engineer's fees, and consultant's charges, necessary for (1) planning the move of the personal property, (2) moving the personal property, or (3) installing the relocated personal property at the replacement location. H. Relettering signs, printing replacement stationery made obsolete by the move and customer notifications. I. The reasonable cost incurred in attempting to sell an item that is not relocated. Business Informational Statement Page 3 Actual direct loss of personal property. This payment provides compensation for propertythat is neither moved nor promptly replaced with a"substitute item" at the replacement location. Payment is limited to the lesser of: (1)the estimated cost of moving the property or (2) the fair market value of the property for its continued use at the old location, less any proceeds from its sale. To be eligible, you must make a good faith effort to sell the property, unless the Agency determines that such effort is not necessary. Purchase and installation of substitute personal property. Payment will be limited to the lesser of: (1) the estimated cost to move the item to the replacement location, or (2) the actual cost of the substitute item delivered and installed at the replacement location, less any proceeds from its sale or its trade-in value. It is important to discuss your plans with the Agency before you proceed. L. Searching for a replacement location. This payment may not exceed $1,000.00 and may cover costs for: Transportation expenses Time spent searching for a replacement location, based on a reasonable salary or earnings Reasonable fees paid to real estate agents or brokers to find a replacement location (not fees related to the purchase of a site) Meals and lodging away from home The Agency representative will explain all eligible moving costs, as well as, those which are not eligible. You must be able to account for ail costs th at you incu r; so keep all your receipts. The Agency will inform you of the documentation needed to support your claim. You may minimize the amount of documentation needed to support your claim, if you elect to "serf-move" your property. Payment for self-move is based on the amount of an acceptable Iow bid or estimate obtained by the Ag ency. If you self-move, you may move your personal property using your own employees and equipment or a commercial mover. If you and the Agency cannot agree on an acceptable amount to cover the cost of the "self-move," you will have to submit full documentation in support of your claim. You may electto payyourmoving costsyourselfand be reimbursed by the Agency or, if you prefer~you may have the Agency pay the mover directly. In either case, let the Agency know before you move. Select your mover with care. The Agency representative can help you select a reliable and reputable mover. When a payment for "actual direct loss of personal property" or"substitute personal property" is made for an item, the estimated cost of moving the item may be based on the lowest acceptable bid or estimate obtained by the Agency. If not sold or traded-in, the item must remain at the old location and ownership of the item must be transferred to the Agency before you may receive the payment. What are Reestablishment Expenses? A small business, farm or non-profit organization may be eligible to receive a payment of up to $10,000 for expenses actually incurred in relocating and reestablishing such operation at a replacement site. Eligible expenses must be reasonable and necessary, as determined by the Agency. They may include but are not limited to the following: A. Repairs or improvements to the replacement real property as required by federal, state or local law, code or ordinance. B. Modifications to the replacement property to accommodate the business operation or make replacement structures suitable for conducting the business. C. Construction and Installation costs for exterior signage to advertise the business. D. Provision of utilities from right-of-way to improvements on the replacement site, Bu$ine.~s Informational Statement Page 4 E. Redecoration or replacement of soiled or worn surfaces at the replacement site, such as paint, paneling or carpeting. F. Licenses, fees, and permits where not paid as part of moving expenses. G. Feasibility surveys, soil testing and marketing studies. H. Advertising 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: I. 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 utility usage. L. Other items that the Agency Considers essential to the reestablishment of the business. What Expenses Are Not eligible for Reestablishment Payment? The following is a non-exclusive 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 m.a_terials, production supplies, product inventory, or other items used in the normal course of the business operation. C. Interior or exterior refurbishment.at the replacement site, except as otherwise provided for under the business reestablishment payment. D. interest costs associated with any relocation expense or the purchase of replacement property. E. Payment to a part-time business in the home which does not contribute materially to the household income. What is Fixed Payment In Lieu Of A Payment For Actual Reasonable Moving And Related Expenses? A Fixed Payment In Lieu Of A Payment For Actual Reasonable Moving And Related Expenses to a business or farm operation is based on the average annual net earnings of the business or farm operation. The payment to an eligible business or farm operation may not be less than $1,000.00, nor more than $20,000.00. The nonprofit organization may be eligible for a payment from $1,000.00 to $20,000.00 subject to the following: A displaced nonprofit organization may choose a fixed payment as stated above if the Agency determines that it cannot be relocated without a substantial loss of existing patronage (membership or clientele.) A nonprofit organization is assumed to meet this test, unless the Agency demonstrates otherwise. Any payment in excess of $1,000.00, must be supported with financial statements for the two 12 month periods prierto displacement The amount to be used for the payment is the average of the lasttwo (2) years annual net eamings. Documentation required may be income tax returns, certified financial statements and accounting records or other similar evidence acceptable to the Agency. To qualify for an In-Lieu payment: Business Informational Statement Page 5 A displaced business: 1. must own or rent personal property which must be moved in connection with the displacement and for which an expense would be incurred in such move, and the business vacates or relocates from its displacement site. 2. must be unable to relocate without a substantial loss of existing patronage. 3. must not be part of a commercial enterprise having more than one other entity which is not being acquired by the Agency, and which is under the same ownership and engaged in the same or similar business activities. 4. must not be operated at a displacement dwelling/site solely for the purpose of renting such dwelling/site to others. 5. must have contributed materially to the income of the displaced person during the two (2) taxable years prior to displacement. A displaced nonprofit organization (1) must be unable to relocate without a substantial loss of its existing patronage; and, (2) must not be part of an enterprise having another establishment which is net being acquired by the Agency. C. A displaced farm operation must meet certain minimum income requirements. The average annual net earnings of a business or farm operation are one-half of its net earnings before Federal, State, or local income taxes during the two (2) taxable years immediately prior to the taxable year in which it was displaced. If not in business for a full two years prior to displacement, the net earnings shall be based on the actual period of operation at the acquired site projected to an annual rate. Average net earnings may be based on a different period of time when the Agency determines it to be more equitable. Net earnings include any compensation paid to the owners of the business, a spouse or dependents. The displaced person shall furnish, the Agency proof of net earnings through income tax returns, certified financial statements, or other reasonable evidence which the Agency determines is satisfactory. The Agency will inform you as to your eligibility for this payment and the documentation you must submit to support your claim. Remember, when you elect to take this payment you are not entitled to reimbursement for any other moving expenses. I Own An Outdoor Advertising Display, What Relocation Payment WilllReceive? As the owner of an outdoor advertising display, you are eligible for a Relocation Payment For Actual Reasonable Moving And Related Expenses. You are not eligible to receive a Payment In Lieu Of A Payment For Actual Reasonable Moving And Related Expenses. If you choose not to relocate or replace the sign, the payment for "direct loss of personal property" would be the lesser of: (1) the depreciated reproduction cost of the sign, as estimated by the Agency, less the proceeds from its sale, or (2) the estimated cost of moving the sign without tem pora ry storage. The Agency will inform you as to the exact costs that may be reimbursed. How do I File A Claim For A Relocation Payment? You must file a claim for a relocation payment. The Agency will provide you with the required claim forms, assist you in completing them, and explain the type of documentation that you must submit in order to receive your relocation payments. If you must pay any relocation expenses before you move (e.g., because you must provide a security deposit if you lease your new location), discuss your financial needs with the Agency. You may be able to obtain an advance payment. An advance payment may be placed in "escrow" to ensure that the move will be completed on a timely basis. Business In.[brmational Statement Page 6 If you are a tenant, you must file your claim within 18 months after the date you move. If you own the property, you must file within 18 months after the date you move, or the date you receive the final acquisition payment, whichever is later. However, it is to your advantage to file as soon as possible after you move. The sooner you subm it you r claim, the sooner it can be processed and paid. If you are unable to file your claim within 18 months, the Agency may extend this period. You will be paid promptlyafter you file an acceptable claim. If there is any question regarding your right to a relocation payment or the amount of the payment, you will be notified, in writing, of the problem and the action you may take to resolve the matter. Appeals If you disagree with the Agency's decision as to your right to a relocation payment or the amount of payment, you may appeal the decision to the Agency. The Agency will inform you of its appeal procedures. At a minimum, you will have 18 months to file your appea[withthe Agency. Your appeal must be in writing. However, if you need help, the Agency will assist you in preparing your appeal. If you are not satisfied with the final appeal decision, you may seek review of the matter by the courts. Tax Status of Relocation Benefits Relocation benefit payments are not considered as income for the purpose of the Internal Revenue Code of 1986 or the Personal Income Tax Law, Part 10 (commencing with Section 17001) of Division 2 of the Revenue and Taxation Code, or the Bank and Corporation Tax law, Part 11(commencing with Section 23001) of Division 2 of the Revenue and Taxation Code. The preceding statement is not tendered as legal advice in regard to tax consequences, and displacees should consult with their own tax advisor Or legal counsel to determine the current status of such payments. Lawful Presence Requirement Pursuant to the Public Law 105-I 17 of 11-21-97, in order to be eligible to receive non-residential relocation benefits in federally-funded relocation projects, theowner of a sole proprietorship and allowners of a partnership must provide information regarding their lawful presence in the United States, a nd a for-profit or a non-profit corporation must certify that it is authorized to conduct business in the United States. Sole proprietorships or partnerships with owners who are not lawfully present in the United States or who decline to provide this information, may be denied relocation benefits. Relocation benefits will be prorated to reflect the number of owners with certified ]awful presence in the US. Additional Information If you have further questions after reading this brochure, contact Pacific Relocation Consultants and discuss your concerns with your relocation representative. You may wish to read the California Relocation Assistance Act regulations which describes the relocation process in more detail. PRC ' Jul 2003 Business Informational Statement Page 7