Eminent Domain – Indiana

Indiana Includes Relocation Benefits in Its Eminent Domain and Condemnation Laws

In Indiana, relocation benefits in eminent domain follow the federal Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended.  This is also known as the Uniform Relocation Act, the Uniform Act, or more simply the URA.  These regulations are followed when the State or any other public agency uses eminent domain to purchase new right-of-way for a public project and for the relocation of those occupying the property.  These regulations must be followed when state or federal funds are included in the project. Reference: Indiana Code Title 32 Article 24 (IC 32-24).

About The Federal Uniform Relocation Assistance and Real Property Acquisition Policies Act (URA)

The URA describes the types of costs that are eligible for reimbursement, known as relocation benefits, which are available to those being displaced while relocating from real property being purchased or those otherwise impacted by the new right-of-way for the public project. The URA is required to be followed on projects that include federal funding.  It’s listed relocation benefits are minimum requirements where a state or local agency can enhance the level of benefits, but not reduce them.  Non-federally funded projects may not be required to follow the URA, but many states, as Indiana, choose these guidelines or some version of them for their state and local agencies to follow, while others do not. 

You can find the URA described in full within the United States Code (Title 42 USC Chapter 61) and the Code of Federal Regulations (Tile 49 CFR Part 24). However, reading through the URA regulations can be a bit daunting, so I’ve prepared a brief summary of the URA business relocation benefits to help you. The summary is attached below. Please understand that my summary of listed benefits is abbreviated for your convenience as a quick reference. Many of the relocation benefits have requirements, and/or conditions for the business to qualify or be eligible for the benefit.

Relocation Assistance Advisory Services

The displacing public agency will provide what is called Relocation Assistance Advisory Services to each displaced person. Many property owners and business owners choose to self-plan and perform their relocation using the recommendations provided by the condemning public agency’s designated acquisition agent and relocation agent.  This may be a desirable approach for you if you are not too concerned with the amount of money you will receive for your property acquisition or for your business relocation.  Also, if your property or business is uncomplicated, at times, simple issues only need simple solutions. This method is focused more on simplicity and works well for small businesses such as an insurance or real estate office having only a few employees. If your business is more complex, you may need a more in-depth analysis of your relocation needs and reimbursable relocation benefits. For a more complex business relocation, you may consider assistance from an eminent domain relocation consultant.

Eminent Domain and Relocation Consultant

Business Relocation:

An eminent domain relocation consultant, referred to as a move planner within the URA,  can help you gain an understanding of the relocation issues and how to begin with putting your best foot forward when facing an eminent domain relocation and communicating with the condemning public agency.  Once engaged, the consultant’s fees are generally covered by the relocation benefits within the Uniform Act. The consultant should be skilled with: educating you on how relocation benefits within the URA will help you, and where they will not; they should quickly grasp your business situation and its operations; and be fully versed on construction related activities necessary for relocating your business.  These and other skills are necessary so that the consultant can fully inform you, and help you with your critical decision making on your relocation matters, while allowing you to focus more on your business operations.

To find such a consultant, I suggest an internet search of: Eminent Domain Relocation Benefits, Indiana. However, your search will show several eminent domain attorneys listed who talk about relocation benefits. When an attorney is part of the relocation team, their work is usually at a higher legal level and is hopefully based on the relocation consultant’s work. Usually the two will work together on your situation. If your internet search is not successful for you, feel free to call me to discuss your business relocation.

Eminent Domain and Real Property Acquisition:

Eminent Domain Attorney:

If you are a property owner facing eminent domain and potential condemnation, I encourage you to talk with an attorney who regularly practices in eminent domain in your state.  You can find such an attorney by searching the internet for: Eminent Domain Attorney, Indiana.  If that’s not a successful search for you, feel free to call me for some suggestions on who to contact. We regularly work with eminent domain attorneys around the country.

How to Begin Planning Your Business Relocation in Eminent Domain

Eminent domain and business relocations can be rewarding to the business owner by bringing new opportunities to the business with the use of relocation benefits or compensation provided by the public project and its displacing public agency. Unfortunately, too many businesses not only miss key and multiple opportunities, but some even fail to survive, as reported in a federal study in 2005. In my experience, the failures occur because the relocation process and relocation regulations must be understood and closely followed by the business and condemning public agency for the business to receive proper reimbursements of relocation expenses, and those regulations are frequently improperly followed.  Several factors will influence the level of success a business experiences with relocating while following the federal Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (URA), these include:

Factors Affecting the Level of Success for Business Relocations in Eminent Domain

Several key factors will influence the level of success a business experiences with relocating while following the federal Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (URA) and the State Relocation Regulations. A few of those include:

• The particular circumstances of the real property being condemned
• The circumstances of the business type being displaced
• The condemning public agency’s approach to relocation
• The ability to soften or overcome those factors listed above
• The business owner’s approach to relocating their business.

For this discussion, I’ll focus on the business’s most controllable part of the process, the business owner and their approach to relocating while following the URA or state regulations.

Best Practices for Eminent Domain Business Relocation Planning

For the best relocation outcome, the business owner will want to use the proper approach to the relocation process.  There is a cause and effect science to the relocation process, which we want to control to create the best results. It starts with the business owner’s approach to the relocation. Below is a list of best practices that I recommend while advising business owners through their relocations in eminent domain.

1. Work with the displacing public agency as much as reasonably possible.  Take advantage of the services they offer you.
2. Educate yourself on your relocation benefits (see my Indiana Eminent Domain Relocation Compensation Regulations cheat sheet below), determine how best to use them for your situation, know how to qualify for them, and how to not lose them.
3. Avoid these common mistakes listed below and my Top-10 business relocation mistakes when relocating within eminent domain:
   1. Denying that your business can be relocated.
   2. Denying that a certain item or items you own cannot be relocated.
   3. Not gaining ownership or control of fixtures used in your business
   4. Complaining about the public agency, project, or circumstances that interfere with properly planning your business relocation for its best outcome.
   5. Assuming that you can relocate using normal business best practices and expect to receive proper relocation reimbursements.  You must follow the details of the Uniform Act, no matter how seemingly nonsensical they appear.
4. Start planning early, start before the displacing public agency starts for you (read more on preplanning your eminent domain relocation). Continue your preplanning into relocation planning for developing an actual relocation plan report. You can use my 11-Step Business Relocation Planning as a guide for you. Start your planning with:
   1. Updating your lease to reflect any improvements you have made to the real property and your right to remove your improvements and trade fixtures.
   2. You will want a current inventory of equipment and other personal property that is owned or controlled by your business. If you are using landlord owned fixtures in your business, this is a good time to consider negotiating a purchase of those items to give you the right to remove them and the right to relocation compensation for those items.

5. Begin searching for a replacement property as soon as you feel or know that your business will be displaced. However, don’t incur costs or move until you have received a Relocation Benefits Eligibility Letter from the displacing public agency.
6. Dedicate the time necessary for you and/or key employees to organize, plan, and perform the relocation tasks necessary for the duration of the relocation process, while not sacrificing the necessary time for ongoing business operations.
7. File relocation claims with the displacing public agency as you incur an obligation to the costs.  File claims early and often.
8. Relocation claims should be well described and supported.  Don’t dump unorganized costs onto the public agency’s relocation agent and expect them to arrive at the best reimbursement for you. No shoe box relocation claim submittals.
9. Request any public agency claim denials for relocation benefits to be in writing.  Verbal denials from the public agency’s relocation agent are a frequent cause of misinformation and misunderstanding of benefits causing an unnecessary loss of eligible relocation compensation.
10. If your business is more complicated than a small insurance or real estate office, or, you feel that you are not being properly treated by the displacing public agency, consider talking with an eminent domain relocation consultant.

This summary of best practices will hopefully get you started on the right foot with your business relocation.  Business relocation planning within eminent domain is one of my favorite services I provide and my favorite topic for conversation.  Please feel free to call me to discuss your situation.

Questions and Answers on Eminent Domain and Business Relocations

If you have questions, feel free to contact me for answers while planning your relocation, which may include but not limited to:

• What do you do next, starting from the point where you are in your relocation process?
• How do you apply the best practices to your specific business relocation planning?
• What are your eligible relocation benefits and compensation?
• How and when do you become eligible for relocation benefits and compensation?
• How do you prevent a loss of your relocation benefits and compensation?
• How can you get out of a pickle in your current relocation situation?
• What do I need to know about the Uniform Relocation Act, relocation advisory services, relocation assistance, and relocation planning?
• When and why would I want an eminent domain relocation consultant for planning my move? Also, see FAQ of Martyn Daniel.

You can contact me at 425-398-5708 or . There’s no obligation for your contact, it will simply be a good productive conversation. Business owners and their representatives, attorneys, appraisers, and public agency representatives are all welcome to call.

References:

Indiana Department of Transportation (INDOT)

Indiana Code IC 32-24

Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970

United States Code Title 42 USC Chapter 61

Code of Federal Regulations Title 49 CFR Part 24

Indiana Projects

Below is a partial list and links to projects where the Indiana State Department of Transportation (INDOT) will likely be purchasing private property for a project’s new right-of-way under eminent domain and making business relocation payments for business displacements caused by the projects while following the federal Uniform Relocation and Acquisition Act (URA).

I-69 section 6 Project

Mid-States Corridor

If you are aware of other projects or familiar with current events on the above projects, please let us know. We would be pleased to update and share information.

Indiana Eminent Domain Relocation Benefits and Compensation Regulations, Abbreviated