NEW APPROACHES TO COMPENSATION FOR RESIDENTIAL TAKINGS

THE COMPENSATION AND RELOCATION OF INDIVIDUALS AND FAMILIES DISPLACED BY HIGHWAY CONSTRUCTION HAVE BEEN VIEWED MORE AND MORE AS THE RESPONSIBILITY OF PUBLIC AGENCIES, BUT AS YET THE FULL SCOPE OF THIS RESPONSIBILITY HAS NOT BEEN DEFINED, NOR HAVE METHODS FOR MEETING THE RESPONSIBILITY BEEN ADEQUATELY STUDIED AND EVALUATED. THE UNDERLYING PREMISE OF THIS REPORT IS THAT COMPENSATION TO THOSE DISPLACED BY A PUBLIC PROJECT MAY BE INCREASED WITHOUT INCREASING THE OVER-ALL DEMAND ON THE PUBLIC TREASURY FOR HIGHWAY DOLLARS. IN THE FEDERAL-AID HIGHWAY ACT OF 1968, CONGRESS RECOGNIZED THAT DOLLARS SPENT IN AVOIDING DISSATISFACTION MAY BE MORE EFFICIENT THAN DOLLARS SPENT IN DEALING WITH THE EFFECTS OF THAT DISSATISFACTION. A REVIEW OF CURRENT LEGAL AUTHORITY REVEALS NO SUBSTANTAIL IMPEDIMENTS THAT MIGHT THWART LEGISLATIVE OR JUDICIAL ATTEMPTS TO EMPLOY NEW MEANS OF COMPENSATION TO PERSONS DISLOCATED BY HIGHWAY PROJECTS. BECAUSE NEW COMPENSATION TECHNIQUES ARE LEGALLY PERMISSIBLE, IT IS IMPORTANT TO ANALYZE AND TEST VARIOUS POSSIBLE TECHNIQUES TO DETERMINE WHAT IMPACT THEY SHOULD HAVE. THE ANALYSIS BEGINS BY CLASSIFYING THE VARIOUS LOSSES RESULTING FROM RESIDENTIAL TAKINGS AND BY CONSIDERING HOW THESE LOSSES ARE TREATED UNDER CURRENT COMPENSATION PRACTICES. THE NEXT STEP IN THE ANALYSIS IS TO CATALOG NEW COMPENSATION TECHNIQUES THAT HAVE BEEN SUGGESTED OR TRIED ON AN EXPERIMENTAL BASIS. HAVING DETERMINED THE POSSIBLE LOSSES AND THE POTENTIAL TECHNIQUES OF COMPENSATION, THE ANALYSIS MUST DETERMINE: (1) AS A POLICY MATTER, WHICH LOSSES SHOULD BE COMPENSATED, (2) WHICH COMPENSATION METHODS WOULD APPEAR TO BE DIRECTED TOWARD THE SELECTED LOSSES, AND (3) WHAT BENEFICIAL OR DETRIMENTAL EFFECTS MIGHT RESULT FROM THE USE OF EACH OF THE VARIOUS TECHNIQUES. IT IS RECOMMENDED THAT STATE HIGHWAY DEPARTMENTS USE A PORTION OF THE RESEARCH FUNDS PROVIDED UNDER THE FEDERAL-AID HIGHWAY ACT TO TEST THESE COMPENSATION TECHNIQUES. SOME OF THESE TESTS MIGHT TAKE THE FORM OF SIMULATIONS IN WHICH COMPUTERS WOULD BE USED TO MEASURE THE PREDICTED COSTS AND BENEFITS OF VARIOUS TYPES OF COMPENSATION METHODS. OTHER STUDIES MIGHT TAKE THE FORM OF ACTUAL EXPERIMENTS IN WHICH A NEW COMPENSATION TECHNIQUE WOULD BE TRIED ON A SPECIFIC HIGHWAY PROJECT, WITH THE ECONOMIC AND SOCIAL EFFECTS CAREFULLY MEASURED AND ANALYZED. AMONG THE COMPENSATION METHODS THAT SHOULD BE CONSIDERED FOR EXPERIMENTATION ARE: (1) NEW STANDARDS FOR VALUING REAL PROPERTY, (2) NEW METHODS OF PAYING FOR CONSEQUENTIAL LOSSES, (3) CENTRALIZED ADMINISTRATION OF RELOCATION PROGRAMS, (4) NEW WAYS OF SCHEDULING ACQUISITION PROGRAMS, (5) REVISION IN APPRAISAL AND NEGOTIATION PRACTICES, (6) MOVING HOMES, (7) BUYING EXISTING HOMES FOR RELOCATION PURPOSES, AND (8) CONSTRUCTING NEW HOUSING. /AUTHOR/

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  • Supplemental Notes:
    • Distribution, posting, or copying of this PDF is strictly prohibited without written permission of the Transportation Research Board of the National Academy of Sciences. Unless otherwise indicated, all materials in this PDF are copyrighted by the National Academy of Sciences. Copyright © National Academy of Sciences. All rights reserved. 27 PP
  • Authors:
    • Bosselman, F P
    • Newsom, M D
    • Weaver, C L
  • Publication Date: 1970

Media Info

  • Media Type: Digital/other
  • Serial:
    • NCHRP Report
    • Issue Number: 107
    • Publisher: Transportation Research Board
    • ISSN: 0077-5614
  • Publication flags:

    Open Access (libre)

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Filing Info

  • Accession Number: 00200882
  • Record Type: Publication
  • Files: TRIS, ATRI
  • Created Date: Jun 22 1971 12:00AM