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HUNTINGTON BEACH : City to Pay $16,000 in Relocation Dispute

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The City Council this week agreed to pay $16,000 to a downtown business, settling a dispute with the firm stemming from its relocation forced by redevelopment efforts.

Huntington Beach Travel Service, which was forced under eminent domain to move from its 5th Street location in January, 1989, had filed a $26,497 claim with the city Redevelopment Agency to cover moving expenses, loss of business and related costs. The business was moved about a block down the street to 218 5th St.

An appraisal consultant to the agency estimated that the travel firm was entitled to a reimbursement between $12,000 to $24,000.

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Following that study, agency officials and Richard J. Socha, the firm’s co-owner, met to discuss a payment and agreed upon a compromise of $16,000.

The payment from the agency covers the business’s costs for moving, labor, operations, loss of clients and other expenses, said Barbara Kaiser, deputy city administrator for economic development.

The amount agreed upon was based on an elaborate formula and is supported by a 30-page report from the appraisal consultant, Kaiser said.

Under the agreement, after Huntington Beach Travel Service receives that payment, it will forfeit its right to seek any additional claim against the Redevelopment Agency related to the relocation.

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