Northwest Regional Right of Way Conference The Hilton, Vancouver, Washington October 27, 2015 Lynn Peterson Secretary of Transportation Oversight Expectations After the Right of Way Consultant is Hired Dianna Nausley WSDOT, Local Programs Right of Way Manger Right of Way Services

Oversight Expectations After the Right of Way (ROW) Consultant is Hired Is your agency engaged? Where we’ve been, where we are, and where we are going……………… WSDOT Staff vs Number of Projects Certified Past & Current Oversight Issues WSDOT Oversight Practices Federal Government Emphasis on Oversight Activities Moving Forward with Project Delivery Best Practices for Oversight/Management Experienced & Qualified ROW Consultants Benefits of Adequate Oversight Why we need oversight? Who is responsible? What is the responsibility? How do we comply? Federal Requirements for: Program Oversight Use of Private Consultants Responsibilities for Oversight Available Resources to Locate Information (DN) 2

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Why We Need Oversight on Federally Funded Projects? State Department of Transportation has overall responsibility for Program Oversight 23 CFR (a) and (b) – State Responsibilities (a) Organization. Each DOT shall be adequately staffed, equipped, and organized to discharge its real property-related responsibilities. (b) Program oversight. The DOT shall have overall responsibility for the acquisition, management, and disposal of real property on Federal-aid projects. This responsibility shall include assuring that acquisitions and disposals by a State agency are made in compliance with legal requirements of State and Federal laws and regulations. 5

Why We Need Oversight on Federally Funded Projects? Through agreement (ROW Procedures) LPAs carry out WSDOT’s authorities 23 CFR (h) – State Responsibilities (h) Use of other public land acquisition organizations or private consultants. The DOT may enter into written agreements with other State, county, municipal, or local public land acquisition organizations or with private consultants to carry out its authorities under paragraph (b) of this section. Such organizations, firms, or individuals must comply with the policies and practices of the DOT. The DOT shall monitor any such real property acquisition activities to assure compliance with State and Federal law and requirements and is responsible for informing such organizations of all such requirements and for imposing sanctions in cases of material non- compliance. 6

Why We Need Oversight on Federally Funded Projects?  State DOTs and local agencies share in the responsibility of providing oversight on federally funded ROW projects Required in order to use federal funds Optimize full amount of federal funds Get projects certified Protect federal government’s level of investment Local agencies may be required to follow certain conditions outlined in the Agency’s Approved ROW Procedures 7

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Who, At the Agency is Approved to Perform What Function?  State ROW Program Region offices have qualified appraisers, review appraisers, negotiators, and relocation agents  Local Agency ROW Program – Approved ROW Procedures Identifies who is approved to do what function within the overall acquisition process If you are not approved for the function you cannot do it. Requires specialized training-must have LP approval to replace/add staff Projects are not being certified until agencies complete the update process. 9

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What is Your Agency’s Required Responsibility?  Follow federal and state laws and regulations  Follow approved state DOT Manuals Right of Way Manual Local Agency Guidelines Manual - LAG  Manage consultants during the ROW process  Obtain complete ROW files from consultants  Maintain official agency files  Be available to answer questions during certification reviews 11

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How to Find Resource Information?  Federal Highway Administration Webpage Division Offices: Headquarters:  State DOT Webpage : WSDOT ROW Manual WSDOT Local Agency Guidelines Manual (LAG) LAG 25.2 Outlines requirements LAG – Qualifications for all disciplines LAG 25.6 – Appraisal Review requirements LPA-001 – Approved ROW Procedures 13

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Real Estate Services & Local Programs 15 WSDOT Staffing RES Projects Certified WSDOT Staff LAC Projects Certified Northwest North Central /232 Olympic Southwest9-6131/259 South Central /2 49 Eastern /241 HQ35-33n/a2 Totals WSDOT Staffing RES Projects Certified WSDOT Staff LAC Projects Certified Northwest North Central 20C10 Olympic74114 Southwest51C6 South Central Eastern112C5 HQ29n/a1 Totals = 94 projects 2014 = 74 projects

Real Estate Services & Local Programs 16 # Projects Delivered by Consultants TypeProjects Delivered by Consultants 2015 Type Northwest3Appraisal8115 North Central 1Appraisal0n/a Olympic5Appraisal2 Southwest1Relocation0n/a South Central 2Appraisal0 n/a Eastern7Appraisal2 Mega6Appraisal & Acquisition 0n/a Totals2517%1275% Agencies on Approved Procedures Agencies on Approved Procedures 2015 Northwest5759 North Central 713 Olympic3237 Southwest2122 South Central 2326 Eastern18 Totals  Only small percentage of projects are delivered by qualified local agency staff  Most agencies hire qualified ROW consultants Project Certified = 151 Project Certified = 16

Who Handles Oversight of Consultants  State ROW Program Region RES Manager Review Appraiser or Senior Appraiser HQ Title Examiners  Local Agency ROW Program Agency – Person approved for Program Administration function WSDOT – Local Agency Coordinator 17

Past Oversight Issues in Washington State  General Concerns Lack of Tracking for oversight activities Non-qualified consultants performing ROW activities Approving corrective actions without authority from FHWA  State ROW Program Project offices hiring sub consultants under A&E contracts with no involvement from the Real Estate Services office  Local Agency ROW Program Lack of documentation for certification reviews resulting in certification of projects where same issues were repeated Local agencies not following Approved ROW Procedures 18

WSDOT’s ROW Oversight Practices  Certification Reviews Not engaged with consultants Turn-key projects Non-qualified ROW consultants  Review and Approval of ROW Procedures Staff Qualifications – resume submittal Consultant Qualifications - nothing  Technical assistance to ROW Consultants Direct contact without agency or RES involvement 19

Federal Government Emphasis on Oversight  Federal Audits/Reviews Finding – material weakness in oversight of Local Agency Program What are state DOTs doing regarding oversight of ROW activities? Concerns that local agencies projects are handed off to ROW consultants without involvement from the local agency Who is qualified to perform ROW activities?  Local FHWA Division Office Concern Lack of understanding what is meant by oversight of consultants 20

Current Oversight Issues in Washington State  State ROW Program Permits not included with certification package – Sufficient Property Rights Timely submittals for review  Local Agency ROW Program Not acquiring Sufficient Property Rights Files lack documentation of LPA involvement in decision making for items requiring agency decision Local agency trend of not following Approved ROW Procedures Consultants not being aware of who is approved to perform specific ROW activities Agency staff performing functions they are not approved to perform Other agency departments using federal aid without awareness of federal requirements to follow the process (Uniform Act) or involve those that are on Approved Procedures 21

How will we move forward to deliver projects?  WSDOT Projects Only replacing positions that are on the overall agency hiring plan Will use ROW consultants Project Manager business model – consultant oversight  Local Agency Projects Will continue to use ROW consultants to deliver projects 22

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Best Practices - Oversight  Engage Professional Services when need Ensure consultant is experienced & qualified WSDOT’s effort to approve consultants performing ROW activities Check references of the consultants Only use Appraisers and Review Appraisers from WSDOT’s Approved Appraiser List Acquisition consultants must be licensed in Washington State Ensure contracting requirements are followed  Be engaged with your consultant Schedule kick off meeting to set expectations Schedule regular status meetings Be involved with consultant in discussions & decisions 24

Best Practices - Oversight  Manage consultant field work in addition to status meetings Review agent’s current diary and supporting documentation when approving recommendations for payments, administrative settlements, clearing or accepting encumbrances, and ensure diary entries include line items for submitting approvals Require complete acquisition from consultant when final settlement is reached and file is submitted for closing and/or condemnation Review file documentation including diaries prior to requesting certification review Read s and be involved in conversations consultants have with WSDOT and make sure they are detailed in the diary Review and approve actions/decisions recommended by consultants 25

Best Practices - Oversight  Agency Approvals & Decisions All decisions and approvals made by acquiring agency, including recommendations from consultants used in agency’s decision process needs to be documented  Complete & Accurate File Documentation Must include a diary of ROW activities Complete and organized file Retain files for a period of time consistent with the federal retention requirements  Certification Review (Quality Control) All acquisition and relocation files need to be reviewed by the agency/region prior to requesting a certification review 26

Best Practices - Oversight  Know your agency’s authorities Who approves Just Compensation, administrative settlements, administrative offer summary (AOS) etc….?  Share Approved ROW Procedures  Research federal regulations to find answers  Take classes and attend annual DOT meetings  Use the DOT’s website WSDOT – Sign up for Gov Delivery & LTAP (Local Technical Assistance Program  Manage project schedules and scope creep 27

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Benefits of Proper Oversight  Protects against risking the loss of federal funds and/or federal participation  Provides ability of the agency to “certify” to FHWA that their project is in full compliance so your project can be certified for construction  Protects level of FHWA investment  Assures ROW files are complete and in compliance with federal/state laws and regulations  Assures that property owners/occupants were treated fairly and consistently 29

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