[Code of Federal Regulations]

[Title 24, Volume 4]

[Revised as of April 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 24CFR941.207]



[Page 372-375]

 

                 TITLE 24--HOUSING AND URBAN DEVELOPMENT

 

CHAPTER IX--OFFICE OF ASSISTANT SECRETARY FOR PUBLIC AND INDIAN HOUSING, 

               DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

 

PART 941_PUBLIC HOUSING DEVELOPMENT--Table of Contents

 

           Subpart B_PHA Eligibility and Program Requirements

 

Sec.  941.207  Displacement, relocation, and acquisition.



    (a) Minimizing displacement. Consistent with the other goals and 

objectives of this part, the PHA shall assure that it has taken all 

reasonable steps to minimize the displacement of persons (households, 

businesses, nonprofit organizations, and farms) as a result of a project 

assisted under this part.

    (b) Temporary relocation. Only residential tenants who are eligible 

under 24 CFR 913.103 and who meet the PHA standards for tenancy 

established pursuant to 24 CFR 960.204 will be permitted to continue in 

occupancy. Any residential tenant who (though not required to move 

permanently) must relocate temporarily (e.g., to permit rehabilitation 

or major reconstruction) shall be provided:

    (1) Reimbursement for all reasonable out-of-pocket expenses incurred 

in connection with the temporary relocation, including the cost of 

moving to and



[[Page 373]]



from the temporary housing, any increase in monthly rent/utility costs 

and incidental expenses.

    (2) Appropriate advisory services, including reasonable advance 

written notice of:

    (i) The date and approximate duration of the temporary relocation;

    (ii) The location of the suitable, decent, safe and sanitary housing 

to be made available for the temporary period;

    (iii) The terms and conditions under which the tenant may lease and 

occupy a suitable, decent, safe, and sanitary dwelling in the building/

complex following completion of the project; and

    (iv) The provisions of paragraph (b)(1) of this section.

    (c) Relocation assistance for displaced persons. A ``displaced 

person'' (defined in paragraph (h) of this section) must be provided 

relocation assistance at the levels described in, and in accordance with 

the requirements of, the Uniform Relocation Assistance and Real Property 

Acquisition Policies Act of 1970, as amended (URA) (42 U.S.C. 4601-4655) 

and implementing regulations at 49 CFR part 24. A ``displaced person'' 

shall be advised of his/her rights under the Fair Housing Act (42 U.S.C. 

3601-19), and, if the representative comparable replacement dwelling 

used to establish the amount of the replacement housing payment to be 

provided to a minority person is located in an area of minority 

concentration, such person also shall be given, if possible, referrals 

to comparable and suitable, decent, safe, and sanitary replacement 

dwellings not located in such areas.

    (d) Real property acquisition requirements. The acquisition of real 

property for a project is subject to the URA and the requirements in 49 

CFR part 24, subpart B. With respect to the Turnkey method of 

development (see 24 CFR 941.102(b)), 49 CFR 24.101(a) (1) and (2) apply 

to the PHA/developer and developer/owner transactions, respectively.

    (e) Notices. (1) As soon as possible after the date described in 

paragraph (h)(1)(i) of this section, the PHA shall issue a general 

information notice (described in 49 CFR 24.203(a)) to each occupant of 

the property.

    (2) At the time of the initiation of negotiations (defined in 

paragraph (i) of this section), the PHA shall issue an appropriate 

written notice to each person occupying the property. Those to be 

displaced shall be issued a notice of eligibility for relocation 

assistance. (This notice may be combined with the 90-day notice under 49 

CFR 24.203(c).) Tenants (eligible under 24 CFR 913.103 and the standards 

for tenancy established in accordance with 24 CFR 960.204) who will not 

be displaced shall be issued a notice offering the tenant the 

opportunity to enter into a lease to continue in occupancy of the 

property under reasonable terms and conditions. (Also, see paragraph 

(h)(1)(iii) of this section.)

    (f) Appeals. A person who disagrees with the PHA's determination 

concerning whether the person qualifies as a ``displaced person,'' or 

the amount of relocation assistance for which the person is eligible, 

may file a written appeal of that determination with the PHA. A person 

who is dissatisfied with the PHA's determination on his or her appeal 

may submit a written request for review of that determination to the HUD 

Field Office.

    (g) Responsibility of PHA. (1) The PHA shall certify (i.e., provide 

assurance of compliance, as required by 49 CFR part 24) that it will 

comply with the URA, the regulations at 49 CFR part 24, and the 

requirements of this section, and shall ensure such compliance 

notwithstanding any third party's contractual obligation to the PHA to 

comply. The certification in the PHA's ``Resolution in Support of Public 

Housing Project'' that the PHA will comply with all the requirements of 

24 CFR part 941 shall constitute the PHA's certification of compliance 

with the URA, the implementing regulations at 49 CFR part 24, and this 

section.

    (2) The cost of required assistance is an eligible project cost in 

the same manner and to the same extent as other project costs. Such 

costs may also be paid from funds available from other sources.

    (3) The PHA must maintain records in sufficient detail to 

demonstrate compliance with this section, including data indicating the 

race, ethnic, gender and disability status of displaced persons.



[[Page 374]]



    (h) Definition of displaced person. (1) For purposes of this 

section, the term displaced person means a person (household, business, 

nonprofit organization, or farm) that moves from real property, or moves 

personal property from real property, permanently, as a direct result of 

acquisition, rehabilitation, or demolition for a project assisted under 

this part. The term ``displaced person'' includes, but may not be 

limited to:

    (i) A person who moves permanently from the real property after 

receiving a notice from the PHA or property owner that requires such 

move, if the move occurs on or after:

    (A) For conventional or acquisition projects, the date of approval 

by HUD of the PHA proposal incorporating the site, or for scattered 

sites, the date HUD approves the applicable site;

    (B) For turnkey projects, the date the PHA proposal is submitted to 

HUD; or

    (C) For major reconstruction of obsolete public housing projects, 

the date the PHA issues the invitation for bids for the project;

    (ii) Any person, including a person who moves before the date 

described in paragraph (h)(1)(i) of this section, that the PHA or HUD 

determines was displaced as a direct result of acquisition, 

rehabilitation, or demolition for the assisted project; or

    (iii) A tenant-occupant of a dwelling unit who moves from the 

building/complex, permanently, after the ``initiation of negotiations,'' 

(defined in paragraph (i) of this section), if the move occurs before 

the tenant is provided written notice offering him or her the 

opportunity to lease and occupy a suitable, decent, safe, and sanitary 

dwelling in the same building/complex, under reasonable terms and 

conditions, upon completion of the project. Such reasonable terms and 

conditions include a monthly rent and estimated average monthly utility 

costs that do not exceed the amount determined in accordance with 24 CFR 

913.107; or

    (iv) A tenant-occupant of a dwelling who is required to relocate 

temporarily, but does not return to the building/complex, if either:

    (A) The tenant is not offered payment for all reasonable out-of-

pocket expenses incurred in connection with the temporary relocation, 

including the cost of moving to and from the temporarily occupied unit, 

any increased housing costs and incidental expenses; or

    (B) Other conditions of the temporary relocation are not reasonable; 

or

    (v) A tenant-occupant of a dwelling who moves from the building/

complex permanently after he or she has been required to move to another 

dwelling unit in the same building/complex in order to carry out the 

project, if either:

    (A) The tenant is not offered reimbursement for all reasonable out-

of-pocket expenses incurred in connection with the move; or

    (B) Other conditions of the move are not reasonable; or

    (2) Notwithstanding the provisions of paragraph (h)(1) of this 

section, a person does not qualify as a ``displaced person'' (and is not 

eligible for relocation assistance under the URA or this section), if:

    (i) The person has been evicted for serious or repeated violation of 

the terms and conditions of the lease or occupancy agreement, violation 

of applicable Federal, State or local law, or other good cause, and the 

PHA determines that the eviction was not undertaken for the purpose of 

evading the obligation to provide relocation assistance;

    (ii) The person moved into the property after the date described in 

paragraph (h)(1)(i) of this section, but before commencing occupancy, 

received written notice of the project, its possible impact on the 

person (e.g., that the person may be displaced, temporarily relocated, 

or suffer a rent increase) and the fact that he or she would not qualify 

as a ``displaced person'' (or for assistance under this section) as a 

result of the project;

    (iii) The person is ineligible under 49 CFR 24.2(g)(2); or

    (iv) HUD determines that the person was not displaced as a direct 

result of acquisition, rehabilitation, or demolition for the project.

    (3) The PHA may, at any time, ask HUD to determine whether a 

displacement is or would be covered by this section.



[[Page 375]]



    (i) Definition of initiation of negotiations. For purposes of this 

section, the term ``initiation of negotiations'' means:

    (1) For conventional or acquisition projects:

    (i) Where the PHA purchases the real property through an arm's-

length transaction (as described in 49 CFR 24.101(a)(1)), the seller's 

acceptance of the PHA's written offer to purchase the property (i.e., 

the seller's execution of form HUD-51971-II), provided the PHA later 

purchases the property; or such other date, as may be determined by the 

PHA with the approval of the HUD Field Office; or

    (ii) Where the PHA's purchase of the real property does not qualify 

as an arm's-length transaction under 49 CFR 24.101(a)(1), the delivery 

of the initial written purchase offer from the PHA to the Owner of the 

property (i.e., the PHA executed form HUD-51971-II). However, if the PHA 

issues a notice of intent to acquire the property, and a person moves 

after that notice, but before the initial written purchase offer, the 

``initiation of negotiations'' is the actual move of the person from the 

property;

    (2) For turnkey projects, HUD Field Office approval of the PHA's 

proposal incorporating the developer's proposal, provided the contract 

of sale is later executed; or

    (3) For major reconstruction of obsolete projects, the PHA's 

issuance of the invitation for bids for the project.



[59 FR 29344, June 6, 1994]