Wis. Admin. Code Adm § 92.56

Current through May 28, 2024
Section Adm 92.56 - Moving payment-business

An agency shall pay a displaced business person for actual moving and related expense under sub. (1), actual direct loss of tangible personal property under sub. (2), and actual expense in searching for a replacement business as specified under sub. (3). A displaced business may be eligible for a fixed payment in lieu of actual moving expenses under sub. (4).

(1) ACTUAL AND REASONABLE MOVING EXPENSE.
(a)Commercial move. An agency shall pay a person for the expense of a commercial move as specified under s. Adm 92.52. The expense shall be supported by receipts and an inventory of the items moved.
(b)Self-move.
1. A person shall have the option of taking responsibility for all or a part of the move and being paid an amount equal to the lower of 2 acceptable bids or estimates obtained by the agency or prepared by qualified staff. An agency shall also pay a person for expenses specified under s. Adm 92.52 when not included in a bid or estimate.
2. An agency shall pay a person for actual and reasonable expenses, supported by evidence of expense, when a bid or estimate cannot be obtained or when a large fluctuation in inventory prevents bidding. The following expenses may be included in a self-move in addition to items specified under s. Adm 92.52:
a. A hired truck and equipment;
b. Gas and oil when a vehicle or equipment owned is used in the move and the cost of insurance and depreciation directly allocable to the move;
c. Wages for persons who assist in the move based on hours worked, not to exceed the hourly rate paid by commercial movers in the area;
d. Wages for supervisory personnel who are regular employees for time spent in overseeing the move.
3. An agency may pay a person without obtaining bids or estimates and without supporting evidence of expenses when it is estimated that the cost of the move will not exceed $1,000.
4. A person who self-moves shall certify that the items listed were moved. The inventory of items listed as moved may not deviate to any appreciable extent from the original inventory without a corresponding increase or decrease in the agreed payment. An increase in the payment shall be based on a moved inventory normal to business operations.
(c)Low value-high bulk property. The agency shall pay the difference between the estimated sales value and the replacement cost of junk, sand, gravel, metal, or other low value and high bulk property used in the operation, when the estimated cost of moving is disproportionately higher than the value.
(2) DIRECT LOSS OF TANGIBLE PERSONAL PROPERTY. An agency shall pay a person for direct loss of tangible property which a person may move but does not, provided the person makes a good faith effort to sell the property. Selling expense and sale proceeds shall be supported by receipts or records. Payment shall be determined as follows:
(a) The payment, when an operation is to be reestablished and an item of personal property used in the operation is not moved but replaced with a comparable item at the new location, shall be the lesser of:
1. The replacement cost, minus the net proceeds of the sale. Trade-in value may be substituted for net proceeds when applicable;
2. The estimated cost of moving the item to a replacement site;
(b) The payment, when an operation is to be discontinued or an item is not replaced in a reestablished operation, shall be the lesser of:
1. The difference between the market value of the tangible property for continued use at its location before displacement, less the net proceeds of the sale;
2. The estimated cost of moving the item to a replacement site;
(c) A payment for loss of an item abandoned because it wasn't sold may not be more than its market value for continued use before displacement, or the estimated cost of moving the item, whichever is less, plus the cost of the attempted sale, irrespective of the cost to an agency for removing the item.
(d) An agency shall pay a person for direct loss of tangible property when it is abandoned and no effort was made to sell the property, provided the agency determines a sale was not practicable.
(e) The cost to an agency for removal of tangible property may not be considered an offsetting charge against other relocation payments.
(3) ACTUAL AND REASONABLE EXPENSE IN SEARCHING FOR A REPLACEMENT BUSINESS. An agency shall pay a person for actual and reasonable expense in searching for a replacement business. The expense shall include transportation, food and lodging away from home and the value of time spent in searching, including any fee paid to a real estate agent or broker, providing a commission was not paid to the agent or broker by the seller.
(a)Receipted bills. All expense claimed except the value of time spent in searching shall be supported by receipts.
(b)Time spent in searching. Payment for time spent in searching may not exceed $30 per hour, unless approved by the agency. A certified statement of time spent, the hourly rate, and the replacement locations considered, shall support a claim.
(c)Payment amount. A search payment may not exceed $1,000, unless it is determined by an agency that a greater amount is necessary.
(4) PAYMENT IN LIEU OF ACTUAL AND REASONABLE MOVING EXPENSE. An agency shall pay a person who discontinues or relocates a business, at a person's option, a fixed payment in lieu of actual moving and related expense, and reestablishment expenses under s. Adm 92.67. The fixed payment shall be equal to the average annual net earnings of the business, but not less than $1,000, nor more than $20,000, if the following requirements are met:
(a)Loss of patronage. A person is unable to relocate without a substantial loss of existing patronage as specified under s. Adm 92.01(18). A business shall be assumed to meet the loss of patronage test, unless the agency demonstrates that the business will not suffer a substantial loss of existing patronage, and shall consider the following:
1. The type of business and nature of the clientele may require a location near the displacement property and a suitable replacement site may not be available;
2. The replacement sites may create a significant financial burden on the business not otherwise compensable;
3. A person may incur substantial uncompensated expense, in down-time, the need to borrow additional capital, the allocation of other resources for a new operation, substantial change in method of operation or related expense;
4. A person is unable to relocate to the rental properties available and remain competitive;
5. The age or physical condition of a person or the need to be near a residence may make reestablishment of the business impractical.
(b)Number of businesses. The business is not part of a commercial enterprise having more than 3 other establishments not being displaced and engaged in the same or similar business under the same ownership.
(c)Rental business. The business is not operated at the displacement dwelling or site solely for the purpose of renting to others.
(d)Payment determination. The payment shall be based on the average annual net earnings of the business as specified under s. Adm 92.01(3).
(e)In business less than 2 years. A business in operation for less than 2 years, shall qualify for a payment. The payment shall be based on a 12 consecutive month period, or by dividing the net earnings by the number of months in operation when operated less than 12 consecutive months.
(f)Owner verification of income. A business owner shall verify net earnings if claiming a payment in excess of $1,000. Income tax records shall be acceptable evidence of earnings.

Wis. Admin. Code Department of Administration § Adm 92.56

Cr. Register, March, 1986, No. 363, eff. 4-1-86; am. (1) b. 1., (4) (intro.) and (a) 1. and (b), renum. (4) (c) to (e) to be (4) (d) to (f) and am. (4) (f), cr. (4) (c), Register, November, 1989, No. 407, eff. 12-1-89; corrections made under s. 13.93(2m) (b) 7, Stats., Register, April, 1996, No. 484; correction in (1) (a), (b) 1., 2. (intro.), (4) (intro.), (a) (intro.), (d) made under s. 13.92(4) (b) 7, Stats., Register December 2011 No. 672.