1. (a) General. Individuals and families displaced from their dwellings which are located on parcels required for a designated highway project are entitled to replacement housing payments provided they relocate into decent, safe, and sanitary replacement housing and meet other eligibility requirements necessary, as determined by the department, to meet applicable legal requirements. If alternate ownership/tenancy status is desired by the displacee, the state will make a reasonable effort to accede to such desire. The displacee may relocate to a dwelling of his choice; however, the amount actually paid to the displacee will be based on the actual cost or actual rent of the replacement dwelling which he occupies, or the housing supplement previously approved by the state, whichever is less. In the case of condemned property and in certain hardship cases, preliminary replacement housing payments may be made to qualified displacees prior to the state's acquisition of the property, conditioned upon execution of a contract with the state wherein the displacee agrees to remit any overpayment which may result from the amount finally paid for the property acquired.
2. (b) Payments to owner-occupants for 180 days or more. A displaced owner-occupant of a dwelling may receive supplemental payments, as determined by the department, for the additional cost necessary to purchase replacement housing, to compensate for the loss of favorable financing on his existing mortgage in the financing of replacement housing and to reimburse him for certain expenses incident to the purchase of replacement housing. At his option he may receive a payment enabling him to rent a replacement dwelling. A displacee who is otherwise qualified for a replacement housing payment but who has previously received a rental payment, may request and receive a revised supplement provided he purchases and occupies a replacement dwelling within the one year period which qualified him to receive the rental supplement and files such claim within 18 months of that date. The amount of the rental payment will be deducted from the amount to which he is entitled for a housing payment.
3. (c) Payment to owner-occupants for less than 180 days but not less than 90 days. A displaced owner of dwelling may receive an amount, as determined by the department, to enable him to make a down payment on the purchase of a replacement dwelling and as reimbursement for actual expenses incident to such purchase. At his option he may receive a payment enabling him to rent a replacement dwelling. A displacee who is otherwise qualified for a down payment supplement but who has previously received a rental payment, may request and receive a revised supplement provided he purchases and occupies a replacement dwelling within the one year period which qualified him to receive the rental supplement and files such claim within 18 months of that date. The amount of the rental payment will be deducted from the amount to which he is entitled for a down payment.
4. (d) Tenant--occupants for not less than 90 days. A displaced tenant may receive an amount, as determined by the department, to enable him to make a down payment on the purchase of a decent, safe, and sanitary replacement dwelling, adequate for his needs, including the expenses incident to such purchase. At his option he may receive a payment enabling him to rent a replacement dwelling. Should the displacee elect to purchase a mobile home as replacement housing, all transportation and set up expense necessary to place the mobile home on a lot, in decent, safe, and sanitary condition will be included as a part of the total acquisition price of the replacement housing. If displaced tenant requests a change from a rental payment to a down payment it will be allowed on the same basis as for an owner-occupant of less than 180 days.

Source Note:The provisions of this §21.116 adopted to be effective January 1, 1976; amended to be effective February 7, 1977, 2 TexReg 354.