The Los Angeles County Traffic Improvement Plan and your business

If it goes into effect, the plan would increase sales taxes by ½ cent in 2017, an increase that would last indefinitely, or until voters chose to end it. Additional highways would be built throughout the county, rail and bus lines would be expanded and we would see more road construction projects take place. To determine the potential impact to your business, see Metro’s plan for improvement projects in map form at

The impact to urban businesses

Some businesses will need to close shop or will lose money while construction occurs. Others will permanently lose their property, and possibly their business, through a process called eminent domain. Eminent domain allows the government to take property for public needs, including transportation. While it is difficult to fight eminent domain, property owners can and should make sure they receive appropriate compensation for their property and other losses experienced by the taking.

For business owners, that includes:

  • The highest price that a seller on the open market would pay for your property on the date it is valued
  • Damages to your profitability as a business (see our blog on goodwill compensation)
  • Lost rental income, if applicable
  • Relocation assistance

What happens if I have to relocate my business?

If you must relocate your business, the government will reimburse you for some of the expenses you incur during the relocation. It will typically pay most of the cost of moving your business to a new location, and some of the cost of preparing the new location for your business.

Unfortunately, the amount of money the government will give you for reestablishing your business is capped at $25,000 by the federal government. Furthermore, it can take the government a long time to reimburse you for relocation costs. You can counteract this and get the money you need to relocate by acting sooner, rather than later, to plan your relocation.

You may be able to work with an attorney and relocation consultant to budget the cost of relocation, create a schedule, find a relocation site and then request advance relocation funding.

To see examples of how we were able to help businesses get the money they needed to relocate, read our blog on our pro-active approach to relocation.

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