23 CA ADC § 370.13
23 CCR s 370.13
Cal. Admin. Code tit. 23, s 370.13
CALIFORNIA CODE OF REGULATIONS
TITLE 23. WATERS
DIVISION 2. DEPARTMENT OF WATER RESOURCES
CHAPTER 1.6. RELOCATION ASSISTANCE PROGRAM
ARTICLE 2. RELOCATION PAYMENTS
This database is current through 05/26/06, Register 2006, No. 21.
s 370.13. Moving Payments to Business or Farm.
(a) General.
(1) The owner of a displaced business or farm eligible under Section
370.11 (a) is entitled to receive a payment for actual reasonable moving
and related expense which include:
(A) Actual reasonable expenses in moving his business, farm, or other
personal property as provided in subsection (b), below;
(B) Actual direct losses of tangible personal property in moving or
discontinuing his business or farm, as provided in subsection (c), below;
(C) Actual reasonable expenses in searching for a replacement business or
farm, as provided in subsection (d), below.
(2) In lieu of the payment for actual expenses and losses as specified in
subsection (a) (1) (A), (B) and (C) of this Section a displaced business
or farm may be eligible for a fixed payment as provided in subsection (e).
(b) Actual Reasonable Moving Expenses.
(1) The owner of a business or farm may be paid the actual, reasonable
cost of a move accomplished by a commercial mover. Where possible, at
least two firm bids shall be obtained prior to the move and submitted to
the Department for approval. The Department will authorize payment based
on the lowest bid.
(A) Where appropriate, the Department may give the displaced business a
Moving Service Authorization in accordance with the provisions of Section
370.12 (b)(1)(B).
(2) Self Moves.
(A) A business or farm which performs the move on its own account shall
prepare a certified inventory of the items of personal property to be
moved. When the Department can obtain two acceptable bids or estimates
from qualified estimators based on the certified inventory, the owner of
the displaced business or farm may be paid an amount equal to the low bid
or estimate, without negotiation. When circumstances warrant, the
Department may negotiate a lower amount not to exceed the lower of the two
acceptable bids or estimates. The amount to be paid shall be agreed upon
in writing in advance of the move. Upon completion of the move the owner
must certify in his claim for payment that the items listed in the
certified inventory were actually relocated. If the Department finds that
the items actually relocated differ significantly from the certified
inventory, payment of the moving cost shall be adjusted accordingly.
(B) If two estimates cannot be obtained, the owner may be paid his actual,
reasonable moving costs supported by receipted bills or other evidence of
expenses incurred.
(C) A qualified employee of the Department, other than the employee who is
handling the claim, may make a moving expense finding not to exceed
$1,000.00. The amount of such moving expense finding may be paid the owner
of the business or farm upon completion of the move without supporting
evidence of actual expenses incurred.
(3) Alternate Payments.
(A) The provisions of subsection (c) of this Section contain the criteria
under which reimbursement is based for personal property which is not
moved to the new site.
(B) When personal property which is used in connection with the business
or farm to be moved is of low value and high bulk and the estimated cost
of moving would be disproportionate in relation to the value, the
Department may negotiate and agree, in writing, with the owner for an
amount not to exceed the difference between the cost of replacement of
comparable item(s) on the market and the amount which would probably have
been received for the item(s) on liquidation.
(c) Actual Direct Losses of Tangible Personal Property. Reimbursement for
the actual direct losses of tangible personal property is allowed when a
person who is displaced from his place of business or farm is entitled to
relocate such property in whole or in part but elects not to do so.
Payments for actual direct losses may only be made after a bona fide
effort has been made by the owner to sell the item involved. When the item
is sold the payment will be determined in accordance with subsection (c)
(1) or (c) (2) of this Section. If the item cannot be sold the owner will
be compensated in accordance with subsection (c) (3) of this Section. The
sales prices, if any, and the actual, reasonable costs of advertising and
conducting the sale shall be supported by a copy of the bills of sale or
similar documents and by copies of any advertisements, offers to sell,
auction records, and other documentation supporting the bona fide nature
of the sale.
(1) If the business or farm is to be reestablished and an item of personal
property which is used in connection with the enterprise is not moved but
promptly replaced with a comparable item at the new location, the
reimbursement shall be the lesser of:
(A) The replacement cost of the item not moved minus the net proceeds of
the sale; or
(B) The estimated cost of moving the item.
(2) If the business or farm is being discontinued or the item is not to be
replaced in the reestablished enterprise the payment will be the lesser
of:
(A) The difference between the depreciated value of the item in place and
net proceeds of the sale; or
(B) The estimated cost of moving the item.
(3) If a bona fide sale is not effected under subsection (c) (1) or (c)(2)
of this Section because no offer is received for the property, the owner
shall be entitled to the reasonable expenses of the sale. The displaced
owner shall arrange to have the personalty removed from the premises at no
cost by a junk dealer, etc. If this fails the Department shall remove the
item in the most economical manner.
(4) When personal property is abandoned with no effort made by the
displaced owner to dispose of such property by sale or by removal at no
cost as specified in the above paragraphs, the owner will not be entitled
to moving expenses, or losses, for the items involved.
(d) Actual Reasonable Expenses In Searching For a Replacement Business or
Farm.
(1) The owner of a displaced business or farm may be reimbursed for the
actual reasonable expenses in searching for a replacement business, not to
exceed $500.00. Such expenses may include transportation expenses, meals,
lodging away from home and the reasonable value of time actually spent in
search, including the fees of real estate agents or real estate brokers if
actually required and paid by the displaced business.
(A) Receipted Bills. All expenses claimed except value of time actually
spent in search must be supported by receipted bills.
(B) Time Spent In Search. Payment for time actually spent in search shall
be based on the applicable hourly wage rate for the person conducting the
search but may not exceed $10.00 per hour. A certified statement of the
time spent in search and hourly wage rate shall accompany the claim.
(e) In Lieu of Actual Moving Expenses. In lieu of the payments described
in subsections (b), (c), and (d) of this Section, an owner of a
discontinued or relocated business or farm is eligible to receive a
payment equal to the average annual net earnings of the enterprise except
that such payment shall be not less than $2,500.00 nor more than
$10,000.00 providing the following requirements are met:
(1) Department Shall Determine. In order for the owner of a business or
farm to be entitled to this payment, the Department shall determine that:
(A) The business or farm cannot be relocated without a substantial loss of
its existing patronage. Loss of existing patronage is determined by
comparing existing patronage as defined in Section 370.00 of this Article
to the estimated net income of the business for the 12 month period after
relocation. Such determination shall be made only after consideration of
all pertinent circumstances, including but not limited to the following
factors:
1. The type of business or farm conducted by the displaced owner;
2. The nature of the clientele of the displaced business or farm;
3. The relative importance of the present and proposed location to the
displaced business or farm;
4. Availability of replacement sites within the financial means of the
displaced business or farm;
5. Competitive advantage of the existing location;
6. In case of a partial taking of a business or farm, the determination of
whether the property remaining is no longer an economic unit;
7. Substantial additional capital expense required, or higher operating
costs at the replacement site.
(B) The business or farm is not part of a commercial enterprise having at
least one other establishment which is not being acquired which is engaged
in the same or similar enterprise. The Department may determine by
suitable criteria that the remaining facility is not another
"establishment" for purposes of this section.
(C) The business or farm contributes materially to the income of the
displaced owner. A part-time individual or family occupation in the home
which does not contribute materially to the income of the displaced owner
is not eligible for this payment.
(2) Owner Must Provide Information. To be eligible for the payment in lieu
of actual and reasonable moving expense, the displaced business or farm
must make its income tax and sales tax returns and its financial
statements and accounting records available for audit for confidential use
by the Department.
(3) In Business or Farming Less Than 2 Years. If the business or farm
affected can show that it was in operation 12 consecutive months during
the two taxable years prior to the taxable year in which it is required to
relocate, had income during such period and is otherwise eligible, the
owner of an enterprise is eligible to receive the in lieu payment. Where
the business or farm was in operation for 12 consecutive months or more
but was not in operation during the entire two preceding taxable years,
the payment shall be computed by dividing the net earnings by the number
of months the business or farm was operated and multiplying by 12. A
taxable year is defined as any 12-month period used by the business or
farm in filing income tax returns.
Note: Authority cited: Section 7267.8, Government Code. Reference: Section
7268, Government Code.
23 CA ADC s 370.13
END OF DOCUMENT
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