Complex Business Relocations and Move Planners Darryl Root, J.D., MBA, R/W-RAC Paragon Partners Ltd. Robert Merryman, R/W-RAC OR Colan Associates Michael McParland, R/W-RAC Auxilium Inc. Rhonda Young, R/W-RAC Spitzer & Associates J. Hunter Manson, SR/WA, RW-RAC Northwest Relocation Consulting LLC NRC Presented by: Auxilium Inc.

Move Planning and Planners Generally accepted for large moves in private industry Permitted in Federal Regulations Should not be viewed as adversarial Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

What do the Regs Say? Professional services as the Agency determines to be actual, reasonable and necessary for: … 49CFR (12) Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Professional… Meaning someone who is engaged in this business as their livelihood This cost is not a self-move item Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

…Agency determines… Decision is the Agencys, subject to appeal Can determine Necessity, Scope, and Allowable Cost Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

What is Actual? This refers to a payment for the actual cost of the work performed. It might be cost reimbursement or a lump-sum. Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

What is Reasonable? This refers to both the Scope of Services being provided by the planner and the cost for those services. Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

What is Necessary? This refers to need by the displaced business for the services to be provided. Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

What are… Professional Services as the Agency determines to be actual, reasonable and necessary for: Planning the move of the personal property, Moving the personal property, and Installing the relocated personal property at the replacement location. Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

What are… Professional services as the Agency determines to be actual, reasonable and necessary for: Planning the move of the personal property, Moving the personal property, and Installing the relocated personal property at the replacement location. Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

What are… Professional services as the Agency determines to be actual, reasonable and necessary for: Planning the move of the personal property; Moving the personal property; and Installing the relocated personal property at the replacement location. Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

How do We Control the Cost of the Services? You must review Scope of Services You must review the total cost and cost breakdown You must positively control change orders Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Two Examples An Aircraft Tire Manufacturer Partial payment for costs Complete control of move A Frozen Food Warehouse Special consultant for safety Assisted with inventory control prior to move Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Best Practices For Determining the Need, Scope and Duties of Move Planners Applies to Our Table, Inc. and the City What does Our Table, Inc. need to do Determine the scope of work for a move planner o To prepare specifications for the relocation or substitution of the personnel property. Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Best Practices For Determining the Need, Scope and Duties of Move Planners Advise on issues pertaining to the transition to a new facility How do you continue to prepare and deliver 1,000 meals a day while transitioning from the current facility to a new facility? How do you plan in advance to continue serving your 1,000 clients on a daily basis? Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Best Practices For Determining the Need, Scope and Duties of Move Planners How long will the move take? How much down time will you have to plan for with both kitchens? Health Department concerns Union Concerns Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Best Practices For Determining the Need, Scope and Duties of Move Planners Prepare a Project Schedule that addresses: How long will it take to fit out the new facility? How long will the actual move take? How long will the kitchens be down? Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Best Practices For Determining the Need, Scope and Duties of Move Planners Prepare a Move Plan that addresses: How do you serve clients during the transition? What existing kitchen equipment needs to move to the new facility? What kitchen equipment will be replaced at the new facility? Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Selection of the Move Planner How will Our Table, Inc. select a move planner? Thorough Discussion of Scope with Planner Review Planners Experience and familiarity with restaurant/kitchen moves Review reasonableness of Planners rates/prices Does Planner know that payment is conditional upon payment from City? Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Selection of the Move Planner What does the City need to do and decide on? Adherence to written policy o If no current written policy, City should provide Our Table, Inc. with written guidelines Content of policy on use of move planners o Criteria for necessity for move planners Complexity of move Reasonableness Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Selection of the Move Planner Basis for Payment of Move Planners o Lower of Two Scope of Work Estimates o Other factors Only work performed in relation to relocating the personal property will be eligible for reimbursement. Amounts paid will be based upon the complexities and nature of the business and will be reimbursed on the basis of product prepared and level of effort as determined by the City. Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Selection of the Move Planner Will the City allow Our Table, Inc. to perform its own professional move services? If so, what are the requirements? Business qualifications to plan the move Reasons for wanting to complete the work instead of hiring an outside professional Hourly rate Scope of Work Must provide at least two Scope of Work Proposals with not to exceed costs from reputable move planning firms Reimbursable costs must not exceed the lower of the two Scope of Work Proposals Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Selection of the Move Planner What advisory services should the City give Our Table, Inc. before it hires move planners? Caution displacee not to rush into contracts with move planners Obtain at least two Scope of Work Proposals from reputable move planners with not to exceed costs Allow the City to thoroughly review the proposals to point out what is and what is not eligible prior to hiring move planners Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Selection of the Move Planner Advise as to generally allowable move planning services: Preparation of floor plan layout/configuration and flow of business operation as it relates to the personal property at the displacement and/or replacement site. Planning of which personal property items will be moved, replaced, abandoned, discarded, or not moved. Research code requirements for installation of personal property currently grand-fathered at the displacement site that may require code modifications at the replacement site. Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Selection of the Move Planner Providing of professional services prior to the purchase or lease of a replacement site to determine its suitability for the displaced persons business operation includes but is not limited to, soil testing, feasibility and marketing studies (excluding any fees or commissions directly related to the purchase or lease of the site). Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Selection of the Move Planner Advise as to Items not generally eligible: o Work with business owner to create the Request for Proposal/Moving Specifications to secure move bids to move all personal property to the replacement site. o Securing move bids including 3rd party bids. o Excessive coordination of movers. o Excessive monitoring all aspects of the move. Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Selection of the Move Planner Advise as to Items not generally eligible: o Post move inventory. o Obtaining inventory from business owner of all items needing to be reprinted that are considered obsolete prior to the actual date of the move. o Review and approval of all claims for relocation as it relates to the personal property. o Processing of all claims for payment. Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Selection of the Move Planner Advise that Our Table, Inc. is responsible for: o Working with City relocation specialist to prepare necessary inventory, identify all vendor owned equipment, and identify those items to be abandoned or replaced. o Notifying with City relocation specialist when the replacement site has been located. o Notifying City relocation specialist of anticipated move date. o Preparing a sample file of all documents that must be reprinted due to change of address and/or phone number. Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Selection of the Move Planner Advise that Our Table, Inc. is responsible for: o Providing valuation of personal property to City relocation specialist for the purpose of obtaining replacement value insurance prior to the preparation of the Request for Proposal. o Obtaining pre-approvals from City relocation specialist before committing to financial obligations for the purpose of determining eligibility for reimbursement of claims. o Keeping City informed as it relates to applicable aspects of its relocation. Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Practical Application Actual, Reasonable and Necessary Value and Benefit Respective Roles and Responsibilities Agency Pre-Approval Scope of Work Schedule of Charges/Terms and Conditions Selection Process Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Practical Application Owner Participation In-House Expertise Contractual Obligation/Liability Agency Monitoring Invoicing Details FHWA Guidance Individual Agency Policies Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Potential Owner Benefits Remain Focused on Running the Business Remain Focused on Replacement Site Search Increase/Enhance Replacement Site Options Dedication to Owners Best Interest Minimize Down Time and Loss of Revenue Reimbursement Success and Survival Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Potential Agency Benefits Point of Contact on Personal Property Issues Apprehensive Owners May Feel Represented Fees May be Federally Reimbursed Agency Administration Time May Be Reduced Project Scheduling Needs are Met Appeals May Be Reduced Success and Survival Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Potential Agency Concerns Control of Cost and Scope Advocating on Claims and Eligibility Issues Involvement on Issues other than PP Duplication of Effort, Work and Cost Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Different Strokes for Different Folks! Businesses Who Want Planning but Do Not Need It! Businesses Who Need Planning but Do Not Want It! Business Who Need Planning and Want Planning! Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Organized and Structured Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Organized and Structured Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Organized and Structured Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Organized and Structured Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Organized and Structured Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Clutter and Chaos Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Clutter and Chaos Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Clutter and Chaos Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Clutter and Chaos Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

Clutter and Chaos Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners

THE PLAN! Complex Business Relocations and Move PlannersComplex Business Relocations and Move Planners