*Acquisition Quiz Flashcards
- The public records show the subject parcel is vested: ‘Mary Smith, a married woman’. You can conclude that:
a. Her husband has only a questionable community interest that can be ignored.
b. The law presumes it to be her separate property
c. Her husband’s signature should be formally solicited on all required documents.
d. It could be a ‘secret’ joint tenancy
c. Her husband’s signature should be formally solicited on all required documents.
Answer: 8.13.03.00 Property Vested Separately
Unless property is explicitly vested of record as separate property, it may not be assumed that it is actually separate property.
If record title is vested in a married woman and not explicitly “as her separate property,” the assumption should not be made that it is her separate property. In such cases, the husband’s signature to Deed, Contract and other required documents should be formally solicited. If the husband refuses to join, no coercion should be attempted, but his reasons for refusing should be stated in the MOS. The title company should be requested to provide assurance in writing that it will insure State’s title on a deed executed only by the wife, and such assurance transmitted to the DORW at the time of scheduling.
- What is the clause that involves mineral rights?
a. MD-3 clause
b. MC-4 clause
c. DM-2 clause
d. DM-4 clause
e. none of the above
d. DM-4 clause
Answer: 8.04.17.00 Clearance of Oil, Gas, Other Hydrocarbon and Mineral Interests in Fee Acquisitions
The Department does not generally acquire these interests when rights of way are being acquired in either a proven or potential bearing area. If local conditions or records indicate either actual or potential bearing land, the Deed Clause DM-4 should be included in deeds to the State describing any portion of such land. This will reserve the rights to the current holder of them.
- The first written offer should be made within:
a. 14 days of the appraised approval date.
b. 30 days of the appraised approval date.
c. 45 days of the appraised approval date.
d. 60 days of the appraised approval date.
b. 30 days of the appraised approval date.
Answer: 8.01.10.00
Federal, State, and Departmental policy require that a prompt offer be made to purchase property. In an active
market, an appraisal may be outdated in a very short time. Failure to make prompt offers in such cases is not only inconsistent with proper acquisition procedures, but may lead to unnecessary reappraisal activity.
All offers should be made within 30 days of the approval of the appraisal. If circumstances cause delays in making prompt offers, the parcel diary must contain appropriate entries to document the reason for that delay.
- What type of occupant has the right to review the State’s appraisal?
a. A business lessee
b. The owner of a commercial business
c. Owner-occupant of a residentially improved property containing 4 units or less.
d. All of the above
d. All of the above
Answer: 8.01.11.00
The Acquisition Agent will provide a copy of the approved appraisal and Summary Statements to parties having an interest in the property. These statements shall show values of the property required, damages, if any, and the total payment. If the value of the appraisal is changed, approved revisions shall be provided in a timely manner. See Section 8.01.12.01. Administrative settlement offers or independent condemnation appraisals do not require revised Summary Statements. See Section 8.02.00.00, et seq., for a detailed discussion on Summary Statements.
- What is used to explain the agreement reached with the property owner in the R/W contract?
a. Memorandum of Agreement
b. Memorandum of Final Title
c. Memorandum of Settlement
d. Agreement Cover Memorandum
c. Memorandum of Settlement
Answer: 8.50.02.00
The MOS must be prepared in sufficient detail so anyone reviewing the transaction will fully understand all phases of the acquisition and reasons for special clauses or other provisions included in the Contract. There should be no doubt that all the elements of the transaction were given consideration and the Contract and MOS totally reflect the agreement between the State and the grantor.
- The Agreement for Possession and Use provides:
a. The legal right for the State to possess and use the owner’s property prior to execution of the R/W contract, and at the same time, allows the owner to receive just compensation.
b. The legal right for the State to possess and use the owner’s property prior to execution of the R/W contract, and at the same time, the owner receive no compensation.
c. The legal right for the State to possess and use the owner’s property prior to execution of the R/W contract, and at the same time, the owner receive only interest.
d. None of the above
a. The legal right for the State to possess and use the owner’s property prior to execution of the R/W contract, and at the same time, allows the owner to receive just compensation.
Answer: 8.09.09.01
The Possession and Use Agreement provides the legal right for the State to possess and use the owner’s property prior to the execution of a Right of Way Contract, and, at the same time, allows the owner to receive just
compensation for the State’s possession and use of the parcel.
- If hazardous waste is discovered during the acquisition process:
a. immediately advise District Project Development in writing with a copy to the District Hazardous Waste Coordinator.
b. Negotiate an administrative settlement to help the grantor pay for additional costs incurred with cleanup.
c. Leave the situation alone, Construction will handle the hazardous waste problem during the construction phase.
a. immediately advise District Project Development in writing with a copy to the District Hazardous Waste Coordinator.
Answer: 8.16.01.00
As a normal rule, HW problems must be dealt with at the earliest stage of the project as is possible. If HW is
discovered during the acquisition process:
A. R/W is to immediately advise District Project Development, in writing, with a copy to the District
HW Coordinator.
B. Project Development will inspect site and advise:
1. R/W to proceed with acquisition if, in their opinion, no significant problem exists and further investigation is unnecessary; or
2. HW Coordinator will contract for further investigation to determine if contamination exists and, if
so, the nature and dimension of the waste. Further investigation by a contractor to determine costs
of cleanup may be necessary.
- Just Compensation must be established through an appraisal prior to obtaining a right of entry.
TRUE FALSE
FALSE
Answer: 8.09.09.00
Rights of Entry prior to initiation of negotiations involve emergency projects or situations which constitute a
hazard to the traveling public, or additional areas required during construction of the transportation facility and are not in conflict with the environmental document related to the project. The normal appraisal and acquisition process must not be unduly delayed after the securing of a Right of Entry prior to the initiation of negotiations.
- Which of the following is an untrue statement?
a. you should request a resolution immediately following your first call if the grantor does not sign.
b. Every reasonable effort must be made to negotiate a signed contract.
c. You can only allow the amount of time between your receipt of an assignment and the date you are required to file the resolution request in order to meet your certification date.
a. you should request a resolution immediately following your first call if the grantor does not sign.
Answer:
- The Acquisition Agent must document in the parcel diary that the property owner received Title VI Civil Rights information.
TRUE FALSE
TRUE
Answer: 8.01.11.00
The agent must verify that the property owner has received the Title VI Civil Rights information. Appropriate entries shall be made in the Parcel Diary and the information supplied if the property owner has not received it.
- A right of way obligation to construct or pay for sidewalks may be assumed in a right of way contract:
a. permissible if the owner agrees to pay for the sidewalk
b. need Senior approval
c. never
d. never, except as a replacement
d. never, except as a replacement
Answer: 8.10.11.00
Under no circumstances shall any obligation be assumed to construct or pay for sidewalks except as a replacement or as an offset against other consideration owed to the grantor. Where frontage roads are to be connected to local streets that would otherwise dead-end at the freeway, and where such intersecting streets have sidewalks, it will be in order to construct sidewalks along the frontage roads. Such sidewalks are considered to be a replacement of existing facilities and, as such, are not right of way obligations.
- Subject to approval by the CTC, exchanges of land in right of way transactions are limited to those cases where the excess real property is contiguous to the remaining property owned by the grantor of the property being acquired:
a. in all cases
b. upon prior approval by HQ’s R/W, noncontiguous property may be exchanged.
c. Only if the exchange results in a cash payment to the State.
d. Not allowed
b. upon prior approval by HQ’s R/W, noncontiguous property may be exchanged.
Answer: 8.12.01.00
Subject to approval by the California Transportation Commission (CTC), excess real property may be used in
exchange for all or part consideration for other property required for highway purposes. Exchanges of land in
right of way transactions should be limited to those cases where the excess real property is contiguous to the remaining property owned by the grantor of the property being acquired. Noncontiguous excess real property exchanges must have the prior approval of HQ R/W. A copy of the authorization will be included in the
Memorandum of Settlement (MOS). Finding “A” or “B” situations are the most desirable type of exchange.
- Where there is a declaration of Homestead, the following is required:
a. there must be a court order approving the sale
b. the deed(s) must be personally acknowledged by both spouses
c. the contract is a partnership
d. the contract can be executed by an individual who has power of attorney for one of the spouses.
b. the deed(s) must be personally acknowledged by both spouses
Answer: 8.13.04.00
Both spouses must personally execute and personally acknowledge deeds conveying property subject to
Homestead (Section 1242 of Civil Code). Conveyances of homesteaded property otherwise executed are void.
No power of attorney or acknowledgement by subscribing witness may be used. The curative act as to defective acknowledgements is not applicable to homesteaded property.
- Rights from an unpatented mining claim are typically acquired by obtaining:
a. a disclaimer
b. a waiver
c. a quitclaim deed
d. a grant deed
c. a quitclaim deed
Answer: 8.19.01.01
Subject to approval by the California Transportation Commission (CTC), excess real property may be used in
exchange for all or part consideration for other property required for highway purposes. Exchanges of land in
right of way transactions should be limited to those cases where the excess real property is contiguous to the remaining property owned by the grantor of the property being acquired. Noncontiguous excess real property exchanges must have the prior approval of HQ R/W. A copy of the authorization will be included in the
Memorandum of Settlement (MOS). Finding “A” or “B” situations are the most desirable type of exchange.
- Allotted Indian Lands are those that are:
a. held in trust for specific tribes
b. divided into parcels of not more than 20 acres
c. held in trust for individual Indians
d. pooled for common benefit
c. held in trust for individual Indians
Answer: 8.20.01.02
“Allotted Lands” are lands within a reservation which are apportioned and distributed in severalty to tribe
members. Title to allotted lands is held in trust by the federal government for individual Indians (25CFR169.1(b)). Allotted lands may be condemned for any public purpose under the laws of the State or Territory where located (25USC357). Rights of way through allotted Indian land may be secured by map application. The Bureau of Indian Affairs should be consulted for the appropriate procedure. Prior contact with the Bureau is necessary before contact with individual Indians.
- Unallotted Indian Lands (held in trust for specific tribes) may be condemned by a State?
TRUE FALSE
FALSE
Answer: 8.20.01.01
“Tribal Lands” are lands within the boundaries of an Indian reservation that are held in trust by the federal
government for the Indian tribe as a community (25CFR169.1(d)). UNALLOTTED TRIBAL LANDS HELD
IN TRUST BY THE UNITED STATES MAY NOT BE CONDEMNED BY A STATE (23CFR107(a,d) AND
317). Tribal land can be acquired with the authorization of the Secretary of Interior and consent of the proper tribe officials. Early involvement of the Bureau of Indian Affairs is essential.
- In acquiring rights of way across Indian Lands, the initial contact should be made with:
a. the Indians occupying the land
b. The Tribal Council
c. The Bureau of Indian Affairs
d. US Dept of Commerce
c. The Bureau of Indian Affairs
Answer: 8.20.01.00
“Tribal Lands” are lands within the boundaries of an Indian reservation that are held in trust by the federal
government for the Indian tribe as a community (25CFR169.1(d)). UNALLOTTED TRIBAL LANDS HELD
IN TRUST BY THE UNITED STATES MAY NOT BE CONDEMNED BY A STATE (23CFR107(a,d) AND
317). Tribal land can be acquired with the authorization of the Secretary of Interior and consent of the proper tribe officials. Early involvement of the Bureau of Indian Affairs is essential.
- In acquiring tax deeded lands, the other party/parties to the agreement for the State’s acquisition are:
a. county tax collector
b. Last Assessee and County Tax Collector
c. County Board of Supervisors, approved by the State Controller
d. The Last Assessee
c. County Board of Supervisors, approved by the State Controller
Answer: 8.24.01.00
Division 1, Part 6, Chapter 8 of the Revenue and Taxation Code authorizes the Department to acquire by Tax Deed
any property available for sale by reason of tax delinquencies. The Department may acquire by sale through agreement with the county, approved by the State Controller, all or any part of the Tax-Deeded property. If the property is not too large, the preferable procedure is to acquire the entire property
- When the cost to move building improvements represents substantial sums of money:
a. the property owner should not be allowed to move the structure
b. the State should place the structure up for public auction
c. the Acq. Branch should secure at least 2 outside bids
d. none of the above
c. the Acq. Branch should secure at least 2 outside bids
Answer: 8.06.07.00
When payment for moving cost is to be made directly to the owner, it is extremely important that the amount be based on the best and most reasonably competitive moving bids obtainable from qualified contractors. The acquisition agent must see that such bids are obtained. When moving costs represent small sums of money, the District may submit its own detailed estimate prepared by the Appraisal Branch to substantiate the contract payment. When the moving costs represent substantial sums of money, the Acquisition Branch shall endeavor to secure at least two outside bids.
- It is the responsibility of the Acq. Branch to make the initial evaluation as to the validity of a claim for Loss of goodwill.
TRUE FALSE
FALSE
Answer: 7.17.04.00 and 8.15.01.04
At the initiation of each staff real estate appraisal of a parcel occupied by one or more businesses, the appraiser will provide each business owner a written notification of the owner’s right to claim a loss of business goodwill using Notification of Right to Claim Loss of Business Goodwill (RW 7-30). It is highly recommended that the RW 7-30 be sent to the business owner by certified mail, with return receipt requested. Form RW 7-30 includes a questionnaire asking for information about the business for the owner to return when claiming a loss of goodwill.
In either case, an estimate of the loss of goodwill or the evaluation of documentation submitted by the business owner will be made by the Appraisal Branch. The results will be used by the Acquisition Agent to conclude the transaction, recognizing any “in-lieu” payments that may have been or will be made under Relocation Assistance.
- Normal title services including title insurance may be waived on parcels having a value of $2,500.00 or less.
TRUE FALSE
TRUE
Answer: 8.65.02.00
A. Parcels having a land value of $25,000 or less which do not involve access rights or improvements. The
District may rely on an investigation of the condition of title as determined from County Assessor’s and
Recorder’s records and other appropriate sources of title information.
- The Acq. Branch is required to confirm current market value with the Appraisal branch prior to initiating the condemnation process.
TRUE FALSE
TRUE most of the time
Answer: 8.01.17.00
The District must ensure that the outstanding offer reflects current market value. The Departmental policy is to make every reasonable effort to acquire property expeditiously and pay just compensation. During the negotiation process, the agent should be able to determine if an adjustment in the appraisal could lead to a settlement. Prior to commencing eminent domain action, the agent will provide the Appraisal Branch with all pertinent information which has been obtained and which may have an effect on the market value of the property.
At least 14 days prior to the mailing of the Notice of Intent, the Acquisition Branch shall submit a “Request for Confirmation of Market Value” (Exhibit 8-EX-5) to the Appraisal Branch to ascertain whether the staff appraisal represents current market value. The Appraisal Branch will review and either confirm or revise the valuation of
parcels to be included in a condemnation suit and report their findings to the Acquisition Branch. Regardless of whether there is a change in value, the date of value shall always be updated. The only exception would be if the most recently approved staff appraisal has a date of value which is within six months of filing the condemnation lawsuit. See also Sections 7.10.10.00 and 8.01.19.00.
- The owner may be given an option to either retain or relocate improvements in the right of way in lieu of their purchase.
TRUE FALSE
TRUE
Answer: 8.06.08.00
Relocating in lieu of purchase is based on bids secured by the owner or the agent. This option generally has the State involved in assisting the owner in the structure relocation, providing guidance as to local requirements relating to ordinances or permits, etc. The agent should assist in ensuring that the relocation bids cover all the costs involved. If the owner wants to relocate a structural improvement and it is economically feasible, then the following clause shall be used:
- Which of the following may be entitled to the appraisal summary statement?
a. fee owner
b. lessee
c. month to month tenant owning realty
d. lessor
e. all of the above
e. all of the above
Answer: 8.02.01.00 All owners and tenants having a cumulative compensable interest of $10,000 or more in land, buildings, structures, other improvements located on the real property to be acquired
