6/21/2007

New Law Designed To Protect Vital Sites: Hartford CT Courant, 6/6/07

Restrictions Placed On Eminent Domain Use

By Mark Peters

Energy legislation signed into law this week includes a provision that grants more protection to vital energy structures, such as tank farms or power plants.

The legislation places new restrictions on the use of eminent domain to take energy-related properties for public projects. The new law arose from New Haven's interest in building a passenger ferry terminal at a site currently used as a fuel delivery and storage terminal.

The new law requires a review by the state Department of Public Utility Control and other state agencies before a municipality can take ownership of an energy facility.

A principal proponent of the new requirements is Magellan Midstream Partners, which owns a fuel storage facility and deepwater dock in New Haven Harbor.

City officials, the company said, have shown interest in using the waterfront land as a site to board passengers and vehicles for a ferry service between New Haven and Long Island. That has raised concerns by the company and by oil industry lobbyists who say the site is crucial to ensuring that the state has enough heating oil and diesel fuel.

The Magellan facility holds millions of gallons of home heating oil kept by the federal government as a strategic reserve to prevent shortages in times of extreme cold, said Bruce Heine, director of government and media affairs for Magellan, based in Oklahoma.

The new legislation "creates a balanced approach," Heine said.

An official for the city on Tuesday played down the city's interest in the property. New Haven has not even started a feasibility study of the proposed ferry service, and when it does, the city will look at several sites for a terminal, said Karyn Gilvarg, executive director of the New Haven City Plan Department.

The city recently hired a consultant to study whether a cross-sound ferry makes sense as a complement to the current service between Bridgeport and Port Jefferson, N.Y., Gilvarg said.


Hartford CT Courant: http://www.courant.com

APS reaches deal to keep water flowing to power plant: KVOA-TV4, Tuscon AZ, 6/3/07

Arizona Public Service [APS] will be able to keep pumping groundwater to supply a northeastern Arizona power plant under a deal with a large private landowner whose property the utility was trying to seize.

The tentative out-of-court settlement between APS and the Aztec Land and Cattle Co. ends prospects for a trial in Navajo County Superior Court focused on property rights and the state's eminent domain laws, both parties said.

APS was trying to condemn rangeland owned by Aztec using eminent domain so it could pump water for the Cholla Power Plant near Joseph City.

The utility leased the water for nearly 35 years, paying $6 an acre-foot, which is 326,000 gallons. But the lease is set to expire in August, and Aztec was demanding an increase to $200 an acre-foot, a price cattle company said was market-rate.

APS offered $56,000 to buy six acres around each of its wells plus easements for access.

The firms failed to agree, and APS filed suit to condemn the land.

The settlement calls for the utility to pump only from six square miles it owns, said Steve Brophy, Aztec's president. The land company will no longer be paid for the water.

APS declined to detail specifics of the settlement.

Brophy said Aztec officials agreed to the settlement because it was the best deal the company could get under the state's eminent domain laws.

"The law subjects them (APS) and us to the 'big pump rule,'" he said. "He who has the biggest pump, rules."

Sen. Jake Flake (R-Snowflake) had scheduled a hearing Wednesday by the Senate Natural Resources and Rural Affairs Committee about the case but canceled when it appeared a settlement was near.

Flake said he still is prepared to introduce a bill that would prohibit condemnation of land for water rights.

"I simply don't think that big companies should use eminent domain for water," he said.


KVOA-TV4, Tuscon AZ: http://kvoa.com

Top Ag Groups Applaud Texas Legislature Action on Eminent Domain: Texas Farmer-Stockman, 6/4/07

By J T Smith

Before the Texas Legislature adjourned its 80th Session at the end of May, lawmakers passed a significant reform in eminent domain, which is being praised by top agricultural groups. Texas' largest farm organization, the Texas Farm Bureau [TFB], applauded the Legislature for passage of a bill to fine-tune the state's eminent domain process. The Texas House concurred with Senate amendments to HB-2006, the eminent domain bill. Gov. Rick Perry is expected to sign it.

Kenneth Dierschke, TFB president, San Angelo, called HB-2006 the most important property rights legislation in Texas in more than a decade. The bill, sponsored by State Rep. Beverly Woolley of Houston, also had passed the Texas Senate on a 30-0 vote. The House, with her leadership, then concurred.

"Texas farmers and ranchers have been concerned for some time about the eminent domain process," Dierschke notes. "It's been far too easy to take property in this state, sometimes without even a good faith offer. Landowners can't match the deep pockets of the taking entities in legal proceedings."

Dierschke says HB-2006 will compensate landowners on what a willing buyer would pay a willing seller - "It's hard to argue with the fairness of that."

Texas and Southwestern Cattle Raisers Association [TSCRA] also was pleased.

"H.B. 2006 helps level the playing field for landowners who are condemned and ensures that they are justly compensated for the damage done on their property," says Jon Means, TSCRA president, and a Victoria cattle producer.

Dierschke says the legislation ensures property owners will be fairly compensated for the taking of their property by the thousands of entities that have power of eminent domain. The Farm Bureau leader says entities with such authority include state and municipal governments, utilities, university systems, some corporations, and various government groups. And with Texas' population growing rapidly, eminent domain proceedings are expected to increase, and Dierschke adds, "We cannot ask Texas property owners—rural and urban alike—to sacrifice their farms, ranches, businesses, and homes without fair compensation."

Means says the bill defines "public use" in a way aimed at preventing condemnation for economic development, the subject of great controversy after the U.S. Supreme Court's decision in Kelo v. City of New London.

TSCRA also praised Senator Kyle Janek of Houston for guiding Senate passage.


Texas Farmer-Stockman: http://thefarmerstockman.com

Eminent domain bill heads to House: Wooster OH Daily Record, 6/3/07

By Marc Kovac

A bill and a ballot issue that would change Ohio communities' use of eminent domain passed the state Senate on Thursday, but not before a couple of hours of debate on the need for the legislation and the wording of the potential constitutional amendment.

Senate Joint Resolution 1, the more hotly contested of the two, passed by a party-line vote of 20-11. The final vote on Senate Bill 7 was 29-3.

Both, which will head to the Ohio House for consideration, would establish standards for the use of eminent domain and limit public entities' ability to take private property for private economic development projects.

They were written following state and national court decisions that affected how eminent domain could be used. One decision allowed local governments to take land in non-blighted areas and transfer it to private entities for redevelopment, while the other raised the standard governments must meet in order to take land from a private property owner.

Sen. Tim Grendell, a Republican from Chesterland and sponsor of the legislation, outlined the basic provisions of SB 7: objectively defining blight, providing ample and early public notice and involvement in eminent domain proceedings, expediting the appeals process for affected property owners and protecting farmland.

"This is an important day for private property rights in Ohio," he said.

Dale Miller, a Cleveland Democrat, opposed the bill, stating he feared its impact on urban revitalization and legitimate public projects.

"I am very concerned about private property rights ...," he said. "I believe that we do need legislation and that we do need to more clearly define what is an appropriate exercise of eminent domain power. ... (But) what is proposed here is a severe overreaction. I do believe it will restrict or eliminate development that is a legitimate exercise of eminent domain authority."

He added, "The House has a lot of work to do on this bill, and I think I would implore them to very carefully consider what we're about to do here and come up with a very substantial revision so that we have something that is reasonable, that is balanced, that deals with the problem but doesn't throw the baby out with the bath."

Tom Sawyer, a Democrat and former mayor of Akron, also opposed. Holding an illustration of the city, circa 1846, and noting the changes the community has experienced in a century and a half, he said cities need to have the power to remove blight, engage in redevelopment and protect other property owners.

"The definition of blight is impossibly high," he said. "In many portions of our larger cities, it would require dropping a bomb in order to qualify for the blighted standard."

SJR 1 was offered by Sen. Kevin Coughlin, a Republican from Cuyahoga Falls. It would place on the statewide ballot a constitutional amendment calling for General Assembly-created standards for the use of eminent domain (like those in Grendell's bill) to apply in all areas of the state, including home-ruled cities. As it stands, cities have the ability to set their own standards for eminent domain.

"Those who live in cities in our state, their property rights against government abuse are no less important than those who live out in the townships and in other places ...," Coughlin said.

"It's a uniform right," Grendell said. "There is no reason to make the residents of Ohio municipalities second-class citizens when it comes to the protection of their fundamental property rights."

He later added for those voting against the resolution: "You're saying that 'I don't trust the people of Ohio to be able to vote on the issue.' ... We ought to give the people of Ohio the final say."

But John Boccieri, a Democrat from New Middletown, took issue with the use of the word "primarily." According to the resolution, the amendment would "prohibit a public authority from taking private property for a public use 'primarily' for the purpose of increasing the revenues available to any public authority."

Boccieri said a task force that studied the issue recommended eminent domain could not be used "solely" for increasing revenues, and the change in wording made the ultimate effective too broad.


Wooster OH Daily Record: http://www.the-daily-record.com

City to review all eminent domain plans: Cherry Hill NJ Courier Post, 6/3/07

Opinion

By Angel Fuentes

For several years prior to and during my recent successful re-election to Camden City Council, I met with many of my Ward 4 constituents and other residents of Camden concerning a very important, and oftentimes, controversial issue faced by municipalities statewide: the use of eminent domain by the city government.

Accommodation
As the state Legislature debates and enacts legislation providing further statutory guidance in the use of eminent domain by municipalities, in the end it is not so much redevelopment requirements and parameters, but a municipality's engagement and accommodation of the affected residential neighborhoods that will matter most. The city has learned this the hard way.

In anticipation of the introduction of redevelopment plans in Camden and the potential use of eminent domain in the acquisition of properties, I previously sponsored an ordinance that would subject all city redevelopment plans to a 10-point review that would engage the city's neighborhoods and foster their active participation in the entire redevelopment process. Please visit my Web site: www.angelfuentesforcitycouncil.com.

Furthermore, the 10-point review would ultimately seek to minimize the impact and maximize the benefits to those city neighborhoods affected by a redevelopment plan. Where property would potentially be acquired - particularly through eminent domain - my 10-point review requires:

  • The redevelopment plan justify or demonstrate the best effort of the city to minimize the actual properties to be acquired.
  • In the interest of removing uncertainty concerning the redevelopment status of any property that may hamper property owners' ability to sell or transfer their property, no secondary list under the category "may be acquired" will be accepted in any redevelopment plan.


Best interests
Rest assured, I and my colleagues on City Council have and will continue to ensure that the acquisition of properties and related potential use of eminent domain under any city redevelopment plan genuinely serve the best interests of all Camden's neighborhoods.


Cherry Hill NJ Courier Post: http://www.courierpostonline.com
Angel Fuentes is the Camden NJ City Council president

Eminent Domain Examined: New Brunswick NJ Home News Tribune, 6/3/07

Land grab or needed tool?

By Gene Racz

Public Advocate Ronald Chen has put himself at the forefront of ending the misuse of eminent-domain laws for redevelopment in New Jersey.

It now remains to be seen just how many citizens, mayors, planners and other interested parties will join him.

Last week, Chen issued a report listing specific abuses and remedies regarding the state's eminent-domain laws, which he characterized as "overbroad" and which allow the government to "take our homes and businesses without meeting the basic principles of fairness enshrined in the New Jersey Constitution."

Chen is calling for legislation to protect the rights of property owners while also preserving the tools municipalities need to carry out essential redevelopment efforts. A reform bill (A-3275), sponsored by Assemblyman John Burzichelli, D-Salem, has passed the Assembly and another reform bill by Sen. Ron Rice, D-Essex, has stalled in the Senate.

Both bills have received mixed reviews.

"Most mayors I talk with who do redevelopment don't support either the Assembly or the Senate version," said New Brunswick Mayor James Cahill. "I think we can eventually get a bill that preserves property owners' rights while also giving municipalities the tools they need to do effective redevelopment. I think people can sit down with Public Advocate Chen and others and get good, fair legislation passed."

Chen's report cited three elements that he feels should be addressed by any legislative reform enacted. They are:

  • Tightening the definition of "blighted area."
  • Making the process for using eminent domain more fair, open and transparent.
  • Requiring adequate compensation and relocation assistance for property owners and tenants.

"I'm glad Public Advocate Chen is leading the charge now in this state," said Edison Mayor Jun Choi. "I also believe that half the states now, ever since the Supreme Court's landmark Kelo vs. City of New London ruling, have adopted legislation focused on curbing eminent-domain abuses.

"The language of the law is just too vague," added Choi. "The report talks about the "bogus blight" issue and due process deprivation. It is astonishing under current law that you can use eminent domain without the owner even knowing about it — as an example. That's obviously ridiculous."

Under Choi, Edison voters passed a referendum question banning the use of eminent domain for private redevelopment in the township. Choi feels it has sent a strong message.

"I think the development community, mainly the irresponsible developers that did business in Edison in past, got a very clear message from our new administration: "We're not here to continue the hanky panky,' " said Choi.

"This really is a new era, we need legitimate public input and we have to address the pressing concerns."

That public input is ongoing, and at the end of Chen's report, the public advocate called for "continued feedback . . . to help achieve further improvements to A-3257."

While the Burzichelli bill addresses all three concerns Chen considered to be key, Cahill said he considers some of the bill's provisions problematic. He cites some requirements of notification to be unnecessarily onerous. Cahill also considers ill-conceived and impractical the provision which precludes a municipality from discussing a redevelopment project with a developer in advance of initiating the redevelopment plan.

Cahill asks things like: How would a redeveloper then know if a plan it crafted would even be accepted by a municipality? What about traffic disruption and things like sewer services? And wouldn't it be good for a developer considering a plan with slim profit margins to know if tax abatements were available?

Cahill notes that in his tenure as New Brunswick mayor, "dozens and dozens and dozens" of redevelopment projects have been completed and that the city has only had to work through problems with property owners in "a handful" of instances. Two of them are ongoing at the moment — one with the Gateway Center project on Somerset Street and another involving an auto-body shop which sits in the midst a proposed town house redevelopment project near Remsen Avenue.

"In New Brunswick, since I've been mayor, we've created 4,000 new jobs; we've reduced the unemployment rate from over 13 percent to now 4.4 percent; created 2,000 new housing units, half of which are affordable; cut the crime rate in half. Would that have all happened if we weren't able to exercise our powers of eminent domain, or take advantage of the redevelopment tools that were provided by the Legislature decades ago?" he asked.

"The answer is no, we wouldn't have been able to," Cahill concluded.

Across the river in Highland Park, Mayor Meryl Frank said that, while she had not seen Chen's most recent report, she and the borough officials "have taken a very gentle hand with redevelopment."

"We've been through our plan (for Highland Park) and we said that we would not take people's homes," Frank said. "We are not looking to bring in a master redeveloper. We are asking the property owners to do their own redevelopment, and that is happening in Highland Park."

"The reason redevelopment is an important tool is that it offers us more flexibility in getting property owners to clean up their property," Frank added. "Again, in Highland Park, most of (redevelopment) is curb cuts and connecting parking lots. We couldn't get rid of all of these driveways that go over sidewalks without redevelopment."

William Potter, past president of the Coalition Against Eminent Domain Abuse, now called Stop Eminent Domain Abuse, says he sees two things that would be helpful in bringing about meaningful eminent-domain reform — judicial and executive action.

"What we really need are two paths: one is (a ruling from) the state Supreme Court and the other is if Gov. Corzine will follow the footsteps of Gov. (Tom) Kean and Gov. (Brendan) Byrne and issue an executive order moratorium on eminent domain," said Potter, partner at Princeton law firm, Potter and Dickson.

"Both of those governors found their land-reform legislation stymied by the Legislature and then they impose a moratorium on development. Under Gov. Byrne it was in the Pinelands, and for Gov. Kean it was on the freshwater wetlands. Each one declared a moratorium through an executive order, and guess what happened? Suddenly the Legislature passed a significant reform bill."

At the moment, eminent-domain reform in New Jersey is at a crossroads awaiting compromise. Advocates of sweeping eminent-domain reform say that redevelopment abuses are impossible to quantify since some property owners don't even contest the taking of their property. Some estimate as many as 100 towns in New Jersey now have battles being fought over redevelopment using eminent domain.

Mayors who rely on eminent-domain laws to help assemble properties for "smart growth" projects that are beneficial to their communities are concerned about losing essential tools.

"Both the Rice bill in the Senate and the Burzichelli bill in the Assembly significantly undermine a municipality's ability to do redevelopment in a cost-effective and efficient way — if you do that, then redevelopment stops," said Cahill.

"What we don't want to see happen is the pendulum swing so far in the other direction that we make it so difficult for municipalities to do redevelopment, that whatever tools we've had before now become unusable."


New Brunswick NJ Home News Tribune: http://www.thnt.com

Connecticut lawmakers vote to limit use of eminent domain: WRIC-TV8, Richmond VA, 6/3/07

Associated Press

Connecticut's legislature has decided to limit the use of eminent domain, two years after a landmark US Supreme Court case.

The state's House of Representatives voted 132 to 7 Saturday night in favor of a bill that restricts private property from being taken solely to boost property tax revenues. The move comes two years after the US Supreme Court ruled the city of New London could take homes for a private riverfront development.

Despite the overwhelming vote, many lawmakers wanted an outright ban on using eminent domain for economic development. They complained that this bill would not have stopped the property seizures in New London. But an amendment failed in a close vote.

Governor Jodi Rell is expected to sign the bill limiting the use of eminent domain.


WRIC-TV8, Richmond VA: http://www.wric.com

County opposes legislation on eminent domain: Ft Worth TX Star-Telegram, 6/3/07

By Anna M Tinsley

It pits property owners against government agencies, wildlife conservationists against bureaucrats.

And it's kicked up a firestorm throughout Texas.

Pleas from both sides are flooding into Gov. Rick Perry's office over House Bill 2006, a measure awaiting the governor's signature that would give property owners more protection when forced to turn over their land to the government through eminent domain.

Critics say it could cost local and state governments more than $1 billion a year in additional costs for road projects, airport runways and other public projects. Supporters say the money should have gone into landowners' pocketbooks all along.

Tarrant County is leading the charge against the bill, preparing a letter asking Perry to veto the legislation. The Texas Wildlife Association, the Institute for Justice and other supporters want it to be signed. Perry has until June 17 to take action.

"We are convinced that the legislation ... will result in much greater costs to taxpayers because the overall costs of acquiring right-of-way for public road projects, both local and state, will be increased significantly," the proposed Tarrant County letter says.

Rep. Beverly Woolley, who carried the bill along with fellow Houston Republican Sen. Kyle Janek, said it's geared to protect property rights.

"Texas courts have chipped away at property-owner protections for decades," Woolley said. "I believe governmental entities should not operate with a sense of entitlement to my land.

"House Bill 2006 restores these property-owner protections."

Added protections
If Perry signs the bill, landowners would have more rights when governments step in to take property through eminent domain, a controversial practice that allows local governments to take and buy land for public projects.

The bill would ensure that landowners receive good-faith offers for condemned property, be compensated for damage done to adjoining property, and have a chance to buy back their land - at the same price they received - if it isn't needed in 10 years for the development.

If signed into law, the provision would go into effect Sept. 1. The buyback provision would require a constitutional amendment that would go before voters on Nov. 6.

The measure defines "public use" to keep land from being taken for economic development and creates a process for courts to determine whether initial purchase offers are fair.

It has followed sharp reaction to a U.S. Supreme Court ruling in 2005 in a Connecticut case that said local governments could take private homes and businesses for economic development. That same year, Texas lawmakers passed legislation prohibiting such use, and they came back this session to add further protections.

'Lawyers' retirement bill'
Opponents say this bill would boost the cost of public transportation projects because of an amendment that requires governments to compensate property owners for road projects that reduce access to the property. Current law doesn't require compensation "if access is merely changed, as long as a reasonable access is preserved," according to an analysis by Tarrant County officials.

The costs could add as much as $800 million to state highway projects alone, officials said. No estimate is available on how much it could add to Tarrant County projects, but Harris County officials say their costs could go up $200 million a year.

"This will make it more expensive for everyone," Tarrant County Judge Glen Whitley said. "Not only that, but a surrounding property owner could sue for damages - noise, damages or some other reason. This is basically a lawyers' retirement bill."

Randall Dillard, a spokesman for the Texas Department of Transportation, declined to comment on projected road costs.

Woolley said the money belongs to property owners.

"Any additional costs to a condemning entity because of HB 2006 means that property owners have been shortchanged that much for years," she said. "I firmly believe that no property owner should suffer an economic loss when he sacrifices his land for the greater good."

Seeking a veto
Tarrant County commissioners will vote formally Tuesday on sending the letter to Perry asking for the veto. Whitley said other counties, including Harris and Denton, are expected to follow suit.

The Texas Municipal League is urging any cities concerned about the bill to send letters to Perry asking for a veto.

"It's much worse than we thought it would be," said Frank Sturzl, the league's executive director. "Requiring the state to pay for loss of access, that has never happened before. That will make some roads very expensive."

Fort Worth officials are still evaluating the bill's impact on city projects.

"We are real concerned about provisions in the bill, and we believe we'll be in more litigation for projects where eminent domain is being used," said Joe Paniagua, an assistant city manager. "We are concerned about the unintended consequences."

Officials with the Tarrant Regional Water District and the Trinity River Vision Authority - which are overseeing the $435 million Trinity Uptown project - said the changes to the law should not dramatically affect their operations.

J.D. Granger, executive director of the Trinity River Vision Authority, said the buyback provision shouldn't affect Trinity Uptown, since eminent domain provisions will be used only for land needed directly for the flood-control portions of the project.

Flurry of lobbying
Supporters say the measure will level the playing field for property owners. The Texas Wildlife Association sent Perry a letter last week asking him to sign the bill.

"The arbitrary use of eminent domain can touch anyone who owns anything anywhere," the letter said.

"Threats to the sanctity of private property ownership cannot be ignored because property ownership is the basis of our free enterprise system and our economy," the letter said. "The legislation is the best fix to eminent domain abuses that we'll probably ever have in Texas."

The bill can also deter government abuse of eminent domain, said Bill Peacock, director of the Center for Economic Freedom at the Texas Public Policy Foundation in Austin.

"I'm hoping Perry does sign it," Peacock said. "I think it's the most important property-rights legislation I've seen in Texas."

The Institute for Justice, the Virginia-based public interest law firm that represented the losing side in the 2005 Connecticut case, is lobbying supporters nationwide to ask Perry to make the measure law.

"We think it's an important piece of legislation that would protect home and small-business owners, farmers and ranchers across Texas," said Steven Anderson, director of the Castle Coalition at the institute. "It would protect all Texans."


Ft Worth TX Star-Telegram: http://www.star-telegram.com

City paves way for eminent domain: Victorville CA Daily Press, 6/2/07

By Tatiana Prophet

While [Victorville] officials say they have no immediate plans to use eminent domain, the City Council is set to pave the way for the day they will need to use it in Old Town and other parts of the city.

“We have no plans to use eminent domain whatsoever at this point,” said Councilman Bob Hunter. “That doesn’t mean that at some point we won’t have to use it, but as always, we negotiate with individuals before we consider eminent domain.”

A state law passed in 2005 puts a time limit of 12 years on eminent domain powers in redevelopment areas.

Before extending the time limit, cities must demonstrate that significant blight still exists in the areas, and that the blight cannot be eliminated without the use of eminent domain.

The time limit expired in the 1980s and 1990s on the areas in question.

According to a City Council agenda item, the city is extending the powers on the Bear Valley Road Redevelopment Project Area, an area bounded by Bear Valley Road on the south and Ottawa Street on the north, next to Foxborough Industrial Park.

The powers would also be available at the Hook Boulevard Redevelopment Area, which runs around the area at Civic and Roy Rogers drives.

Finally, if the measure passes, eminent domain powers would be available for the Old Town/Midtown Redevelopment area.

The city has already approved its Old Town Strategic Plan and is courting private developers to help turn the area into a pedestrian-friendly environment.

Part of the Old Town strategy would involve creating “catalytic” sites along Seventh Street, permeating the four-block grid from A to D streets.

According to the strategic plan, housing is a critical component of the area’s rebirth.

With plans for artist’s lofts priced at about $240,000 per unit, the city’s development partners will likely need to acquire land in the area.

But city officials have come out adamantly against using eminent domain for private use — only for government use such as roads and required infrastructure.

The last time the city used eminent domain was in March, when it took an 1,800-square-foot corner from a half-acre lot at Nisqualli Road and Seventh Avenue to be able to install a drain, sidewalk and street signal for the street’s widening.


Victorville CA Daily Press: http://www.vvdailypress.com

Stealing home: Hackensack NJ Record, 6/1/07

Editorial

NEW JERSEY'S vague laws on government taking of property put ordinary homeowners and small businesses at risk. The Legislature needs to protect property owners by reforming eminent domain laws. So far, it has failed.

The Assembly passed a reform bill last year. The measure has stalled in the Senate.

Some opponents say eminent domain abuse is not really a problem. Municipalities act fairly when condemning homes and businesses, they say.

But anyone who has watched Lodi's treatment of residents of two Route 46 trailer parks knows better. The borough is fighting to kick out the 200 people who live in the Costa and Brown's trailer courts. It is trying to condemn these generally well-maintained properties on a flimsy premise that they are "blighted." It wants to convert the site into an upscale condo development - all for the sake of increasing borough tax revenues.

Lodi is just one example. A report this week by state Public Advocate Ronald Chen gives other instances of eminent domain abuse around the state. It shows municipalities, like Lodi, using designations of "blight" to take private homes and businesses. It shows governments failing to give property owners a chance to contest condemnation of their property, such as the city of Passaic's treatment of Charlie Shennett.

Shennett had no idea his home had been condemned until, in 2005, he inquired why he had not received a tax bill. The city condemned the home that had been in his family for 80 years without notifying him. It had transferred the property to a company owned by a former city councilman.

The transfer of the property to a political insider carried the appearance of a potential conflict of interest. But in eminent domain cases, that's not so unusual. Chen's report details another case, in Long Branch, where municipal officials involved in condemning property appeared to stand to personally benefit from the deal. As the report notes, such potential conflicts of interest undermine public confidence in all government condemnations of property.

Sometimes, eminent domain is the right thing to do. Homes and businesses sometimes have to give way for schools, roads and other important public projects. Sometimes, properties truly are blighted and detrimental to public health; government needs to declare eminent domain to bring in new, private development.

But condemning property for private development should be rare. And it should be fair.

Municipalities should be barred from declaring properties "blighted" merely because of faded paint or overgrown weeds. They should be required to give owners adequate notice and a fair chance to contest the property taking. They should also have to pay fair compensation for displaced owners to start over somewhere else.

The Assembly bill, co-sponsored by Robert Gordon, D-Fair Lawn, would help ensure fairness. The Senate should pass an identical measure. It should reject a bill sponsored by Ronald Rice, D-Newark, that would fail to give property owners needed protections.

Many municipalities do the right thing when condemning property. Some do not. And it's ordinary people who get hurt.


Hackensack NJ Record: http://www.northjersey.com

6/18/2007

Maryland earns ‘D’ on eminent domain report: Baltimore MD Examiner, 6/7/07

Editorial

Adeptness at seizing private property should not be a skill Baltimore City and other local governments in Maryland cultivate.

But recent events and a new report card from the Institute for Justice — which represents property owners in Maryland and throughout the country fighting government condemnation — show it as the regular modus operandi locally.

Since the Supreme Court’s 2005 Kelo decision granting governments power to condemn property for private economic development, many states have moved to strengthen laws protecting property owners. Maryland is not one of them.

The 2007 Eminent Domain Report Card gives Maryland a “D.” [Click here to download the report card: http://www.castlecoalition.org/publications/report_card/

“Maryland homeowners are not much more protected from eminent domain abuse today than they were the day the Kelo decision came down,” said Steven Anderson, director of the Castle Coalition, a branch of IJ.

The legislature debated some bills in the past two sessions, but very few reached committee and only one passed, Senate Bill 3, which requires those doing the condemning to complete it within four years of authorization. It also raises financial caps on how much owners can receive.

That’s a start, but property owners need much greater protection from government and those who benefit from it.

Traditionally governments used eminent domain to build highways and other public works projects.

But Baltimore City used it aggressively to pave the way for retail and housing developments, including in the Superblock area on the Westside and in the North Charles Street region.

Twice in the last year the state’s highest court has condemned the city-financed Baltimore Development Corp. for abusing a provision of eminent domain — quick-take — for immediately seizing property it had nothing other than theoretical plans to develop.

We don’t begrudge the city for wanting to turn neglected areas into attractive shopping and housing centers that can boost the tax base and provide welcome amenities for residents.

But respecting property rights must be paramount. Next session the legislature must prioritize clarifying when and how property can be condemned and define “economic development” so that yet-to-be determined plans do not provide the basis for seizing property.

Those faced with eminent domain condemnation can order a DVD from the Castle Coalition and its “Survival Guide” for $3.95 at www.ij.org/freedommarket to learn how to fight it successfully.


Baltimore MD Examiner: http://www.examiner.com

Bloomfield consents to cease eminent domain: New Jersey Eminent Domain Blog, 6/12/07

By Bill Ward

The long, contentious three-year litigation over Bloomfield’s redevelopment and its attempts to secure properties by eminent domain is over. The New Jersey Superior Court entered an order approved by Essex County Assignment Judge Patricia Costello dismissing Lardieri et al v. Township of Bloomfield (ESX-L-8929-06) on the express condition that Bloomfield would not use its power of eminent domain to acquire the five plaintiffs’ properties.

The order was approved in a resolution by the Bloomfield Township Planning Board, the Mayor and Council. Both the resolution and the order establish that Bloomfield, when it selects a new developer, cannot use eminent domain to acquire private properties for the project, and the developer can acquire properties only through arms length negotiations. Most importantly, eminent domain has been removed from the developer’s arsenal.

In a related case, 110 Washington Street v. Bloomfield, the corporation’s partners are proceeding with the development of their own parcel in accordance with the redevelopment plan. Once the planning board finalizes the approval of 110 Washington Street’s plan for high rise residential development, Bloomfield will see progress.

A municipality can achieve economic revitalization through its zoning powers without condemning large swaths of properties and dislocating long established businesses. This mechanism will attract private capital to the redevelopment area and achieve the economic objectives through market forces without eminent domain.

“Eminent domain isn’t the key to economic development,” said Anaheim, California Mayor Curt Pringle in his report, Development Without Eminent Domain, published by the Institute for Justice.

Pringle achieved Anaheim's redevelopment objectives without condemning properties. His efforts should be a template for all muncipalities that desire redevelopment but oppose taking private properties for economic benefit through eminent domain. Perhaps Bloomfield Mayor Raymond McCarthy and the township council have set a similar standard for New Jersey.


New Jersey Eminent Domain Blog: http://www.njeminentdomain.com

School Board to Vote on Rescinding Decision: No Middle School at Fairmont Blog, 6/15/07

Some great news for all those concerned with the prospect of a middle school at Fairmont!

The WCCUSD [West Contra Costa CA Unified School Board] board will vote to rescind its decision to make Fairmont the lead proposal for the relocation of Portola and is basically going to restart the entire process to find a solution to the problem. They are proposing a much more systematic approach to finding a middle school site, including establishing criteria for what they are looking for in a middle school and employing a CEQA consultant. See the agenda for the meeting on June 20 here. On the agenda, it is Item E1.

Thanks so much to everyone who attended meetings, circulated petitions, wrote letters and generally raised the profile of this issue.

It's comforting to see that the school board can change its mind when a mistake is made and I applaud them for doing so. Many people have commented about the flawed process and the board seems willing to learn from its failures in this case. As the agenda item says: ``We regret the difficulty and length of this process and for the fact that, after all this, we find ourselves `back at the drawing board.' We are, hopefully, wiser for these efforts. ''

Please realize that the search for a new middle school is not over and we all need to stay engaged and give the district as much support and feedback as we can to make sure we can all get the kind of middle school our kids and community need.



No Middle School at Fairmont Blog: http://nomiddleschoolatfairmont.blogspot.com

Kelo Anniversary - A night of cinema and citizen action at the Jersey Shore Arts Center on June 22, 2007

Dana Berliner, Co–Counsel landmark Kelo Case, Joins Asbury Park Filmmaker on Panel

The Castle Coalition in partnership with the Stop Eminent Domain Abuse Coalition of New Jersey (StopEDA.org) and state and local activists will commemorate Kelo Day, the landmark U.S. Supreme Court decision that broadly expanded the use of eminent domain for private development with a program celebrating citizen action.

The program, to be held Friday, June 22, 7pm at the Jersey Shore Arts Center in Ocean Grove, will feature a panel discussion with Dana Berliner, litigator for the public-interest law firm the Institute for Justice and co-counsel on the Kelo vs. New London case. The program also features a call to action for a state-wide moratorium on eminent domain abuse, and a special in-the-works screening of Greetings from Asbury Park, a documentary feature film by Asbury Park native Christina Eliopoulos about the price of progress in her hometown and her family’s struggle with eminent domain abuse.

In the wake of the Kelo decision, more than 41 states have enacted legislation
aimed at limiting the abuse of eminent domain, hoping to give tenants and property owners greater protection, participation and compensation

Across New Jersey, more than 115 municipalities have the authority to use eminent domain in “areas in need of redevelopment.” With this designation, private homes and businesses can be taken and given to private development companies for private development, like luxury condominiums and big-box stores.

The Institute for Justice, in its yearly report card on individual states, gave New Jersey an “F” for its track record of eminent domain abuse.

In its report, the Institute for Justice states that “New Jersey desperately needs reform, as the State’s Public Advocate admitted in his recent report. In particular, the criteria used to declare an area “in need of redevelopment,” a designation that triggers the power of eminent domain, are so broad that most every New Jersey property is subject to acquisition.” The report goes on to say that “ New Jersey is one of the nation’s worst eminent domain abusers and is one of the states with the most work to do in the legislature.”

The Institute for Justice, based in Arlington, Virginia represents homeowners in Long Branch’s Marine Terrace Ocean Terrace Seaview Avenue area (MTOTSA). The City of Long Branch, New Jersey is trying to seize the well-kept beachfront homes of senior citizens and families to give their land to a private developer.

Featured panelist Dana Berliner serves as a senior attorney at the Institute for Justice, where she has worked as a lawyer since 1994. She litigates property rights, economic liberty and other constitutional cases in both federal and state courts. She represented the home and business owners in Norwood, Ohio, who, on July 26, 2006, secured a unanimous ruling from the Ohio Supreme Court that the city could not take their property for a privately-owned shopping mall and “lifestyle center.”

Along with co-counsel Scott Bullock, Ms. Berliner represented the homeowners in the recent decision in Kelo v. New London, in which the U.S. Supreme Court ruled that cities could condemn property because other uses may produce an increase in tax dollars and jobs. She also recently secured a ruling that the Village of Port Chester, N.Y., violated due process in its use of eminent domain to secure waterfront property. Her first eminent domain case was a successful challenge to the use of eminent domain to take Vera Coking’s Atlantic City home for limousine parking for a neighboring Trump hotel and casino.

Greetings from Asbury Park, a documentary feature film, began filming in Asbury Park in 2001. Over the past five years, the filmmakers have interviewed over 40 local residents, historians, artists, musicians, community leaders as well as numerous national public policy experts and distinguished scholars. Director Christina Eliopoulos interviews her hometown neighbors and three generations of her family. The film, a work in progress, will be completed shortly and make its debut on the festival circuit in the fall of 2007.

Lori AnnVendetti, co-chair of the The StopEDA Coalition of New Jersey and co-sponsor of the event, called the Kelo Day event “a monumental opportunity for eminent domain activists from all corners of the state to come together and take a stand for our constitutional rights to our homes and property.” Ms. Vendetti, who owns a home in Long Branch’s MTOTSA neighborhood, said “everyone has to realize that it’s my home today, but it could be your home tomorrow.”

The suggested donation for the event is $20, $10 for students and senior citizens. Reservations are required. Please call (732) 380-1592. All proceeds will cover costs of the evening. The Jersey Shore Arts Center is located on Main Street and Main Avenue in Ocean Grove.


For more information about "Greetings From Asbury Park," call Kerry Margaret Butchcell at 732-306-8701; for additional details about the Stop Eminent Domain Abuse Coalition of New Jersey, contact Lori Ann Vendetti at 973-699-0375.

Anaheim Mayor Curt Pringle Introduces “Development Without Eminent Domain”: California Alliance to Protect Private Property Rights, 6/7/07

News release

If you are convinced that urban renewal can’t take place without using eminent domain to seize homes, small businesses, family farms and places of worship from unwilling sellers, this report is a must read!

Anaheim Mayor Curt Pringle shares his expertise in economic redevelopment in a report released this week. The report, the second in a series published by the Institute for Justice, is titled, “Development Without Eminent Domain: Foundation of Freedom Inspires Urban Growth” and explains how “Anaheim’s leadership brought economic vibrancy to Anaheim without resorting to any takings of private property.”

Pringle explains in the report, “my City Council colleagues and I decided that we would not agree to any development plan that proposed the use of eminent domain.” As a result, “the area is blossoming with more economic activity than ever imagined.”

Click here to Download Mayor Pringle’s report to read a post Kelo perspective on urban renewal without the destructive use of eminent domain: http://www.castlecoalition.org/publications/Perspectives-Pringle/index.html


California Alliance to Protect Private Property Rights: www.calpropertyrights.com

California earns a D- on eminent domain reform: California Alliance to Protect Private Property Rights, 6/7/07

News release
Experts say recently introduced legislation will not improve the grade

The Institute for Justice (IJ), who represented Susette Kelo in the U.S. Supreme Court’s Kelo v. New London case, just released a state by state report card giving California a D- grade for failing to pass substantive eminent domain reforms.

The report card cited the D- grade on the legislature’s failure to pass any significant reforms, instead, passing several measures that were according to IJ, “basically a waste of paper.” The report provides that the 5 bills passed in 2006 “are mostly cosmetic and will not prevent determined officials from taking private property for another private party’s benefit.”

With the second anniversary of the U.S. Supreme Courts Kelo v. New London decision quickly approaching (June 23rd), the State Legislature has yet to pass any meaningful reform. In recent weeks, the League of California Cities introduced ACA 8, sponsored by Assemblyman Hector De La Torre (D- South Gate). “Consistent with previously submitted legislation, ACA 8 will not land California on IJ’s honor roll,” said Alliance president Marko Mlikotin. Property rights experts have been very critical of ACA 8 by identifying its loopholes and limited protections. The Institute for Justice had previously weighed in by saying ACA 8 “will do little to prevent the actual taking of property in California – and this flaw is fatal.”

Tim Sandefur, an attorney with the Pacific Legal Foundation and author of “Cornerstone of Liberty: Property Rights in 21st Century America” also expressed his doubts on ACA 8, saying the measure would make “virtually no meaningful change in the law.”

Mlikotin also said, “While other states have passed meaningful reform, California has a long way to go to protect homes, businesses, family farms and places of worship from eminent domain abuse. Historically, California has led the Nation in so many ways, but unfortunately we have not taken the lead in reforming a system that allows government to profit by seizing private property from unwilling sellers and giving it to the wealthy and politically connected.”

The California Alliance to Protect Private Property Rights (the Alliance) is a statewide organization dedicated to exposing the abuses of eminent domain in California. The organization is a co-sponsor of the California Property Owners and Farmland Protection Act, a ballot measure proposed for June of 2008.


California Alliance to Protect Private Property Rights : www.calpropertyrights.com

Click here to view the Report Card: http://www.castlecoalition.org/publications/report_card

Family gives up home to Bellevue: Cincinnati OH Post, 6/1/07

By Shelly Whitehead

Outside a Northern Kentucky courtroom Thursday, moments after a Bellevue, Ky. woman reluctantly agreed to sign her childhood home over to the city, her son said his mother's case serves as a cautionary tale for all about the threat he believes eminent domain laws pose.

Campbell Circuit Court Judge Julie Reinhardt Ward signed a settlement between the city of Bellevue and Florence Matthews Thursday morning that ends legal challenges first filed by the 79-year-old woman four years ago, contesting the city's right to acquire her 97-year-old home through the power of eminent domain.

The city agreed to pay $200,000 for Matthews' riverfront home, which, according to county property records, she actually sold to her children, Leah Kay and Charles Kevin Matthews, for $61,200 in April.

In turn, Mrs. Matthews agreed to move from the Lafayette Avenue residence within the next 18 months to make way for a wider road to the $65 million Harbor Greene development along Bellevue's riverfront.

Mrs. Matthews was the sole holdout among numerous property owners whose land was first targeted 18 years ago for Bellevue's urban renewal plan.

But after five years and two rounds in both Campbell Circuit Court and the Kentucky Court of Appeals, the case was finally resolved.

Kevin Matthews said his mother and her family simply felt they were out of options.

"We were forced to come to an agreement. We had no choice the way the eminent domain laws are written," said Matthews, a history professor at George Mason University in Fairfax, Va.

"I know there's a difference between justice and the law and this is a good example of that. ... What we had to do today is sign away my mother's property. ... Mom just wanted to live there the rest of her life."

Bellevue city leaders referred all questions about the settlement to Paul Alley, who has represented the city in the case. He said that although the settlement was long in coming, it is key to the city's future since road improvements essential to the city's overall revitalization can now proceed.

Harbor Greene is a combined residential and commercial project being developed by Cincinnati-based Ackermann Group that spreads high-end condos and office space along 12 acres east of Port Bellevue. Matthews' modest home sits at the corner of Lafayette and Eden avenues, where Alley said the street must be widened for daily traffic as well as emergency vehicle access to the riverfront complexes.

"The street construction is needed to facilitate growth in the area," Alley said. The street widening is the final element of the city's urban renewal plan, he said.

Mrs. Matthews admits that her fight was never with the plan, per se. In fact, she sat on Bellevue's Planning and Zoning Commission when the plan was approved in 1989 and voted for it.

"I voted for it, but I never knew my home would be taken away from me," she said. "... They even said they were going to put tennis courts across from my home. I thought I would get to have the river and tennis also. I like tennis."

Mrs. Matthews said she'd like to stay in Bellevue. But, at $400,000 and up, it's doubtful that she'll be moving into one of those neighboring Harbor Greene condos since her son estimated she would be left with little more than $150,000 from the sale of the family home after paying legal fees and taxes.

Mrs. Matthews said even the $1.6 million penthouse condo next door pales in comparison to what she's used to.

"I've got seven rooms and two big yards," she said of her beloved home. "And my flowers are there. Everything's there."


Cincinnati OH Post: http://news.cincypost.com

Ruling revokes land seizure: Contra Costa CA Times, 6/1/07

Hercules Council suffers setback in battle to keep out Wal-Mart, but company still needs OK to build a store

By Tom Lochner

Hercules [CA] lost a round in its battle to keep out Wal-Mart when a judge tentatively ruled that the ordinance the City Council invoked last year to seize the retail giant's property by eminent domain is invalid.

But even if Contra Costa Superior Court Judge Judith Craddick affirms her tentative ruling and the city makes no further eminent domain attempts, it would not mean Wal-Mart will ever build a store in Hercules, City Attorney Mick Cabral said Thursday.

"Instead of becoming the owner of the property, the city would then process (Wal-Mart's) application on its merits," Cabral said. "The process just resumes."

It is a process in which the retailer so far has not fared well.

Hercules, in oral arguments Tuesday, asked Craddick to reconsider her tentative ruling. A final ruling is expected any day, Cabral said.

The city rejected three previous Wal-Mart applications on the grounds the retailer exceeded size limits that derive from a 2003 development agreement with a previous owner. Wal-Mart owns the 171/4-acre future Bayside Marketplace on John Muir Parkway about midway between San Pablo Avenue and San Pablo Bay.

Wal-Mart's latest application last year was for a 99,000-square-foot store - down from 140,000-plus square feet in earlier plans but still larger than the 64,000-square-foot limit the city claims by virtue of the 2003 agreement. Wal-Mart has said 64,000 square feet is merely a guideline.

The City Council will discuss what to do next in closed session June 12, Cabral said. Alternatives include appealing the ruling to a higher court, going ahead with eminent domain under a 1996 redevelopment plan amendment whose eminent domain authority the city believes is still valid or forgoing eminent domain and entertaining the next Wal-Mart application.

In her tentative ruling, Craddick agrees with Wal-Mart attorney Edward Burg that a September Hercules City Council ordinance is invalid. That ordinance purported to confirm the continued existence of the city's eminent domain authority in the so-called Dynamite Project Area and extended it for an additional 12 years. Burg contended the authority had lapsed and therefore could not be extended.

Craddick left open the possibility that a redevelopment plan amendment approved by the September ordinance could be "lawfully adopted" in the future.

Craddick also agreed with Burg that Hercules did not substantiate its finding that the property is blighted, a necessary condition for eminent domain. Blight must be economic and physical under modern-day redevelopment laws, which have evolved since the original Dynamite Redevelopment Plan was adopted in 1983. The name is a reference to a dynamite plant that closed in the 1960s.

Cabral defended the city's invocation of eminent domain last year, because "if eminent domain is successful, it would bring the Wal-Mart application process to an end." He and others had predicted then that Wal-Mart would mount a court challenge.

Wal-Mart's plans to build a Hercules store has angered residents who said a big-box store catering to regional shoppers would clash with the city's pedestrian-friendly vision for the area. Dozens railed against Wal-Mart at several public meetings, saying the company underpays workers and destroys neighboring businesses.

Wal-Mart has claimed overwhelming community support in Hercules, but only a handful of people testified in its favor at the meetings, including some company employees who don't live in the city.

Wal-Mart's Northern California spokesman could not be reached. Calls to Wal-Mart corporate headquarters in Arkansas were not returned.


Contra Costa CA Times: http://www.contracostatimes.com

Ohio Senate passes eminent-domain curbs: Columbus OH Dispatch, 5/31/07

By Jim Siegel

Fearing potential abuse by local officials who want to turn run-down properties into more lucrative developments, the Ohio Senate today passed a pair of proposals that would limit governments' ability to take land through eminent domain.

The measures include a constitutional amendment that, if it passes the House and is approved by Ohio voters in November, would require all cities to adhere to new state private-property laws, regardless of local regulations.

“Today is our opportunity to tell all Ohioans that we think their property rights are revered, fundamental and entitled to protection from the improper use of government eminent-domain powers,” said Rep. Timothy J. Grendell, R-Chesterland, sponsor of the bill.

“Unfortunately in recent years, some governmental entities … have used eminent domain as a tool of convenience, not a tool of last resort.”

The measures come in response to a 2005 U.S. Supreme Court case known as the Kelo decision, where the court ruled that cities could take private property and give it to developers for economic development.

In Ohio, however, the state Supreme Court ruled last July that local governments can't seize private property solely for economic development.

But court decisions can change, said Sen. Kevin J. Coughlin, R-Cuyahoga Falls. “I think the people of Ohio deserve a more permanent solution to this.”

The House is expected to vote next week on its own eminent-domain proposal, which differs from the Senate-passed version in a handful of ways, including how many properties within a targeted area must be considered blighted before government can take the land. It's 90 percent in the Senate bill, 50 percent in the House version.

While the Senate bill passed overwhelmingly, all but one Democrat opposed the proposed constitutional amendment, arguing it would strip away cities' home-rule rights. They also don't like that it prohibits the taking of private property “primarily” to generate more government revenue. Democrats wanted the wording to read “solely.”

“ Primarily, frankly, does not go far enough,” said Sen. Capri S. Cafaro, D-Hubbard. “Does that mean secondary, or as a residual result it's OK? It will eventually lead to broad interpretation and litigation for years to come.”

Some highlights of Senate Bill 7, which now moves to the House:

  • Prohibits the use of eminent domain in nonblighted areas for private economic development.
  • Defines blight as property that is unsafe, unsanitary or a health threat. Absent that, a blighted property must meet at least two of eight other criteria, including a public nuisance, fire hazard, disconnected utilities, vacant or delinquent on taxes.
  • Requires elected officials to give final approval to any eminent-domain action. This includes Gov. Ted Strickland approving projects for state parks or highways.
  • Mandates early notice and public input before eminent-domain proceedings begin.
  • Shifts the burden to the government to prove the public purpose for taking private land.



Columbus OH Dispatch: http://www.columbusdispatch.com

Eminently Inadequate - Legislature Fails To Prohibit Private Gain In Public Takings: Hartford CT Courant, 6/17/07

Commentary

By David R Cameron

The Connecticut General Assembly has finally gotten around to dealing with eminent domain. It's been three years since the state Supreme Court allowed New London to take 15 residential properties in the Fort Trumbull neighborhood for private development and two years since the U.S. Supreme Court upheld the Connecticut court's decision, setting off a political firestorm across the country.

It was hardly worth the wait. The Democratic-dominated General Assembly finessed the issue. Not surprising, given, on the one hand, the public uproar over what happened in New London and, on the other, the opposition of the Democrat-controlled big cities to any restrictions on their use of eminent domain.

The legislation allows lawmakers to claim they've addressed the public's concerns about eminent domain while leaving intact the ability of municipalities to use it. No wonder it passed with huge majorities in both the House and Senate.

The legislation does include several procedural safeguards in the use of eminent domain. It prohibits the taking of properties primarily to increase local tax revenue (the rationale in New London). It requires a development plan that details the public benefit of the project. It requires local government approval by a two-thirds majority for any taking. And it provides a compensation bonus for properties taken by eminent domain amounting to at least 25 percent more than the average of two appraisals.

But it fails to do what many had hoped - prohibit the taking of owner-occupied homes in projects involving private entities and generating private benefits. Instead, it requires only that the development agency and legislative body of the municipality determine that the public benefits of a project outweigh any private benefits.

The Fifth Amendment of the U.S. Constitution says, in part: "nor shall private property be taken for public use, without just compensation." Justice John Paul Stevens, writing for the majority in the Kelo decision, noted that the Supreme Court long ago moved away from a literal interpretation of "public use" to a "broader and more natural interpretation of public use as `public purpose.'"

He concluded that the New London takings were justified because the city "carefully formulated an economic development plan that it believes will provide appreciable benefits to the community, including - but by no means limited to - new jobs and increased revenue. ... that plan unquestionably serves a public purpose ... "

Stevens and the other justices in the majority were naive to assume that, simply because the development plan envisioned public benefits, the project would in fact produce such benefits. As Justices Joette Katz and Peter Zarella and former Chief Justice William J. Sullivan argued in their partial dissent from the state Supreme Court decision, there was no "clear and convincing evidence" the properties actually would be developed to achieve a public purpose.

The new legislation fails to require the development agency and municipality to provide clear and convincing evidence or, indeed, any evidence at all that the public benefits of a project would be realized.

The second flaw in Stevens' decision was its interpretation of "public purpose." By approving the New London takings despite the fact that the hoped-for public purpose would be achieved by private developers reaping private benefits, the court in effect allowed eminent domain to be used for a private purpose, provided only that it also serve a public purpose.

Following that flawed logic, the state's new legislation extends the use of eminent domain beyond projects that have an exclusively public purpose to those that include private purposes and benefits.

In concluding, Stevens noted that nothing prevents states from placing additional restrictions on the exercise of eminent domain. He pointed out that many states had already imposed "public use" requirements stricter than those in federal law.

The Conneticut legislature could have done that. It didn't. Instead, it finessed the issue and left the power of municipalities to use eminent domain intact.


Hartford CT Courant: http://www.courant.com

David Cameron teaches political science at Yale: david.r.cameron@yale.edu

Eminent domain law paves way: Los Angeles CA Daily News, 6/16/07

Newhall upgrade planned

By Judy O'Rourke

The recent approval of an eminent domain law moved the city c[of Santa Clarita CA] loser to carrying out plans to upgrade downtown Newhall, though officials hope some landowners will willingly sell.

Anxious property owners on a block targeted for a $10 million civic library are taking a wait-and-see approach, but the city says the measure follows state laws and simply spells out its long-stated objectives to improve the rundown area.

"We primarily passed an ordinance that is identical to state law," said Chris Price, the assistant city engineer overseeing the redevelopment project.

A recent state law requires municipal redevelopment agencies to adopt such measures by July 1.

In Santa Clarita, the five-member City Council acts as the Redevelopment Agency. It's had authority to invoke eminent domain in the redevelopment zone since 1997, but the new measure formalized that power.

A contentious public hearing Tuesday on the proposed expansion plans for Henry Mayo Newhall Memorial Hospital overshadowed other items on the council's agenda, which included the eminent domain law. It drew no comments.

Should the council grant the measure final approval June 26 it will become law, taking effect a month later.

Backing the measure is the city's Senate Bill 53 program. It spells out the procedure for invoking eminent domain step-by-step.

While many aspects have been discussed before, the program includes provisions for what happens if negotiations fail and the city files a lawsuit to acquire property it has condemned.

"The Agency, when it files the condemnation action or later, may seek an order of possession so it can gain possession of the property while the litigation proceeds concerning the value of the property," the document says. If the court sides with the property owner, the city would have to pay his or her court costs, it says.

A letter sent by the city in April told Spruce Street property owners they'd be given a "reasonable opportunity to present relevant material the agency would carefully consider" if they were dissatisfied with purchase offers.

"If a voluntary agreement cannot be reached the agency will either institute a formal condemnation proceeding or in the alternative, decide not to acquire the property," the letter said.

The city snapped up a Union 76 gas station property at Lyons last year for about $840,000 and has said it would pay market rate for the handful of buildings on Spruce, a cul-de-sac parallel to San Fernando Road, bracketed by Lyons Avenue and Eleventh Street.

A review is planned next week for independent appraisals on the handful of Spruce properties, where the library is envisioned. In a closed-door meeting, the redevelopment agency would decide what happens next.

If the city buys the properties, details of the transactions would be made public.

Should the owners refuse to sell, nothing would happen overnight.

"We would probably continue negotiations for 45 to 60 days," Price said. "If that's unsuccessful, we would get further direction from the council."

A man with a plum spot on Spruce voiced concern Friday his property will be undervalued.

"The (high-profile property) always gets prime dollars but appraisers don't take that into account, they just compare similar-sized properties," said Tom Fitterer, whose building is occupied by a tattoo parlor and gallery.

Meanwhile, a needs assessment conducted by the county library suggests the Newhall branch should occupy some 18,000 square feet to 24,000 square feet, more than five times the size of the existing Newhall library.

City officials and county library chiefs who met earlier this month to discuss the library project did not reach a decision, said Pamela Broussard, a county library spokeswoman. The city's draft budget for the coming year earmarks $1 million to design a new library to replace the 4,842-square-foot Newhall branch some quarter-mile away.


Los Angeles CA Daily News: http://www.dailynews.com

Eminent domain bill's impact on blight in Lynchburg unclear: Lynchburg VA News & Advance, 6/16/07

By Conor Reilly

A bill yanking federal money from localities that abuse their eminent domain power recently passed the U.S. House of Representatives Agriculture Committee.

But it’s unclear if the legislation, co-sponsored by Rep. Bob Goodlatte, R-Roanoke, will impact an important tool used in Lynchburg to improve run-down properties.

Goodlatte said in a news release that the bill responds to the U.S. Supreme Court’s 2005 Kelo decision that allowed an economically depressed Connecticut town to take private land and give it to a private company.

“The court essentially erased any protection of private property as understood by the founders of our nation,” he said in a news release.

Called the Strengthening the Ownership of Private Property (STOPP) Act, Goodlatte’s bill would prohibit federal economic development assistance that “uses the power of eminent domain to obtain property for private commercial development or … for economic development purposes.”

The proposed law does not specifically allow localities to take a property because it is a blight, according to Goodlatte spokeswoman Kathryn Rexrode.

“It’s my understanding that local governments have other tools at their disposal to address blight,” Rexrode said.

Lynchburg and its housing authority are now looking into whether the bill will stifle the city’s “spot blight” program, designed to get run-down properties out of the hands of irresponsible owners and into the hands of responsible ones.

Lynchburg City Attorney Walter Erwin said Thursday that the language in the bill is muddy, but could possibly jeopardize key federal grant money used for projects, including the Bluff Walk Hotel, and funding for the Lynchburg Community Action Group and the Housing Authority.

“I just can’t figure out why the federal government wants to protect blighted properties,” he said.

While it is a concern, Erwin said that the bill does say that eminent domain would have to be used to further “economic development.” Spot Blight would likely not qualify under that definition, so the federal money might not be at risk.

The city began using its program in 1999 and has since dealt with 60 blighted properties in and around downtown Lynchburg. The city had to resort to eminent domain in seven of those cases.

Spot blight elimination, Erwin said, raised the assessed values of those 60 properties by $1 million.

Eminent domain was a hot issue during this year’s General Assembly session. Lawmakers ended up passing a bill that restricted localities’ ability to take property if the primary purpose is for private benefit.

City officials have said eminent domain is important because it can help preserve the historic character of the city.

Localities can already take and demolish homes when safety is a factor. But spot blight allows the city to intervene before the home must be razed.

Losing the threat of eminent domain could mean losing the last available method localities have to compel a property owner to take care of their property.


Lynchburg VA News & Advance: http://www.newsadvance.com

Targeting Target, property owners win one: Manchester NH Union-Leader, 6/17/07

By John Stossel

Opponents of eminent domain finally have something to celebrate. After a public campaign, Target Corp. has decided not to build a store on condemned property in Arlington Heights, Ill.

Five years ago, the village trustees declared the International Plaza shopping center and other properties blighted, setting the stage for condemnation under eminent domain. The business owners who were to lose their stores fought the "blight" designation in court but failed.

Yet they didn't give up. They and their supporters held protests at trustee meetings. They were aided by the Sam Adams Alliance and Foundation, which launched a letter, telephone and flyer campaign that threatened to boycott Target if the company went through with its plan to occupy property seized by the government.

In late May, the alliance triumphantly announced, "Target backed out of their contract with the Village. International Plaza tenants have saved the property from eminent domain abuse, at least for the time being."

The village attorney said pending lawsuits by tenants of the shopping center were one reason for Target's decision.

It's only a reprieve. The trustees smell big bucks, so they may try to find another major chain to be the principal retailer in the 35-acre development area. In the past, several retailers have been more than willing to build on stolen property. So the residents of Arlington Heights and the Sam Adams Alliance may need to launch another campaign.

Nevertheless, Target's announcement is good news indeed.

The "takings" clause in the Constitution's Fifth Amendment says government cannot take private property "for public use without just compensation." I object to anyone having his property taken by force, but at least traditionally this power of eminent domain ("superior ownership") was limited to the building of highways, bridges and parks - things meant for general public benefit.

But over the last 40 years, governments have redefined "public use" to include private use that they argue has public benefit. Towns began to condemn properties said to be "blighted" and hand them over to private developers, who promised higher tax revenues and jobs.

In 2005, the U.S. Supreme Court blessed this outrageous argument in the infamous Kelo v. New London case. Fortunately, a public backlash followed the ruling, and 41 states have put restrictions on eminent domain for private development. But many of these laws have loopholes for "blighted" property.

Blight is in the eye of the beholder. The Institute for Justice, a libertarian public-interest law firm, says that "the definition of 'blight' has become so broad and unprincipled that governments regularly target perfectly fine homes in ordinary neighborhoods for the wrecking ball."

The use of eminent domain for private profit is the tip of the iceberg of an unappreciated threat to individual freedom. States and municipalities routinely engage in economic planning that would make the old Soviet Union blush.

State and local planning boards manipulate the tax laws and hand out cash subsidies to favored retailers and manufacturers, while those without political connections bear the full tax burden or are shut out altogether. The favoritism escalates when governments feverishly compete with one another to attract an auto-assembly plant or a big-box store.

Private businesses play each government off against the others to get the most corporate welfare possible.

Who pays? The taxpayers and property owners who are forced to sacrifice for the "common good."

Why do we assume that politicians and bureaucrats know better what's good for the community than people themselves? Competition within free markets benefits everyone. Voluntary exchange is always win-win. Political schemes - which always require force - benefit some at the expense of others.

Many uninformed people think there can't be economic development without planning. That's another myth. Most of America's astounding economic growth occurred without government guidance.

The Arlington Heights story shows that big companies respond to public protests. There is a lesson in that. Governments will stop stealing private property from the powerless when businesses refuse to cooperate in this larceny.

So the next time one of those giants signs on to a development project made possible by eminent domain, give them an earful.


Manchester NH Union-Leader: http://www.unionleader.com

John Stossel is co-anchor of ABC News' "20/20" and the author of "Myths, Lies, and Downright Stupidity."

Governor Perry, Don’t Mess with Texans’ Private Property! Mexia TX Daily News, 6/17/07

By Gina Parker Ford

The right to own and enjoy private property is one of the most basic rights of our free society. The 80th Legislature clearly understood that in passing HB 2006, which provides owners of private property with necessary protections and checks against the government power of eminent domain. According to its author, State Rep. Beverly Woolley (R-Houston), the bill attempts to “make condemnation a level playing field,” since the current eminent domain laws are “tilted in favor of condemning entities and against property owners.”

Eminent domain, also referred to as condemnation, is the process by which government takes property from the private owner for a stated public use, such as the construction of a highway. The Texas Constitution qualifies the raw power of eminent domain with two requirements: lands that are taken must be put to “public use” and “adequate compensation” must be provided to the aggrieved owners.

Courts have watered down those protections through increasingly broad interpretations. The State Supreme Court, for example, has made eminent domain a cheaper and easier option for governments, to the detriment of Texans’ private property rights.

In 2005, the U.S. Supreme Court ruled in the Kelo case that economic development can serve as a “public use,” ? that is, businesses need not purchase their own properties; the government can just condemn property for them. In the dissenting opinion, Justice Sandra Day O’Connor warned, “Nothing is to prevent the State from replacing any Motel 6 with a Ritz Carlton, any home with a shopping mall, or any farm with a factory.”

Thankfully, HB 2006 rights those wrongs. By narrowly defining “public use,” the bill limits frivolous takings. Shopping malls are great, but they are not a “public use” that warrants seizing homes and businesses.

The bill requires that a government make a “bona fide offer” to purchase property before taking it. Sitting down eye-to-eye and face-to face before a condemnation is the adult way to solve things. Without a “bona fide offer” to purchase, eminent domain is nothing more than the bully kid on the playground - grabbing and pushing.

HB 2006 requires that courts consider all factors in determining “adequate compensation”. The bill also contains various measures of transparency so that when it comes to eminent domain, everything is conducted under the watchful eyes of interested individuals and voters.

Property owners’ sighs of relief, however, may be premature. Governor Rick Perry has threatened to veto HB 2006. The Texas Department of Transportation, it seems, has told the Governor that if the bill is signed into law, the cost of road construction will skyrocket. Despite the threats of TxDOT, HB 2006 does not stop transportation projects. HB 2006 simply reinstates and restores many of the rules that TxDOT operated under for decades. Roads were constructed before, and they will continue to be constructed.


Mexia TX Daily News: http://www.mexiadailynews.com

Gina Parker Ford, CEO of a dental manufacturing company and an attorney, is the National Eagle Forum Chairman for Judicial Reform. Mrs. Ford also served as a Bush and Perry appointee to the Texas Department of Licensing and Regulation. She serves on the American Family Radio Advisory Board (Texas), and she was both the former Republican Party of Texas Treasurer and Associate General Counsel. For more information: www.ginaparker.net

6/17/2007

Legislature Must Act Now to Stop Eminent Domain Abuses: Politics NJ, 5/29/07

[New Jersey state] Senator Diane Allen, (R-7), issued the following statement today after the release of a report by the New Jersey Department of the Public Advocate that states New Jersey law governing eminent domain use for private redevelopment is written in a way that leads to abuse.

“I am not surprised by the findings in this report. It is a fact that too many residents in modest homes, for which they have worked all their lives, fall victim to eminent domain abuse. Eminent domain was created to facilitate projects for the public good, like roads and schools. Recently use of eminent domain has mutated to allow grabbing of private property for private use.

The Public Advocate’s report also pointed out that many homeowners whose rights are violated lack the resources to engage in expensive litigation with towns. We will never know exactly how many people have had their homes wrenched from them by aggressive eminent domain actions. Home ownership is part of the American dream, but when a family loses its home, it’s not just the home that is stolen, but the family’s dreams, as well.

This abuse of eminent domain and the stealing of people’s homes by the government must stop. I have been working on this issue for a long time, and as a result of my research, have introduced several bills all of which I believe would go a long way toward putting an end to the rampant abuse of eminent domain. One of the pieces of legislation I sponsored would place a two-year moratorium on eminent domain used for private development. It has languished in the Senate Community and Urban Affairs Committee.

My other eminent domain bills would:

  • Specifically define blight, clearly indicate who would make the determination, and establish the precise criteria that would be used.
  • Ensure just compensation for both residences and businesses
  • Prevent an occupied and well maintained residence from being demolished for building developments such as a shopping center or non-public office buildings
  • Prohibit a municipal officer or employee who serves on a redevelopment or housing agency from voting on condemnation of any property for redevelopment purposes.

Sadly, not one of my eminent domain bills has even been scheduled for a hearing by the Chairman of the Senate Community and Urban Affairs Committee. The Trenton politicians have failed to respond to the cries of the people and have instead listened to promises of a quick tax fix that typically never appears.

The practice of seizing private property that is modest to replace it with high-priced private development is immoral and must be stopped. The Legislature must address this issue now.”


Politics NJ: http://www.politicsnj.com

Property rights: Rocky Mount NC Telegram, 5/29/07

North Carolina voters will be asked to decide whether the government can invoke eminent domain to condemn private property to make way for economic development projects under a measure approved last week in the N.C. House.

If the N.C. Senate signs off on the proposed constitutional amendment, the referendum could go before voters as early as this fall.

The measure, which was approved by a bipartisan 104-15 vote in the House, also ensures the right of a landowner whose property is condemned to receive a jury trial to determine just compensation.

North Carolina is one of many states to review eminent domain laws after the U.S. Supreme Court ruled that the town of New London, Conn., could condemn and seize property for use as a hotel and convention center. But the high court also ruled that states could ban such condemnations.

Lawmakers enacted a law last year that eliminated a few exceptions that allowed towns and cities to condemn land for economic development. The proposed amendment would make it harder for the loopholes closed last year to be written into future laws.

State and local governments have long held the power to invoke eminent domain to take private property for public use, but the Connecticut case set a bad precedent. Taxpayers are being asked again and again to foot the bill for huge economic incentive packages to help lure business and industry to North Carolina. They shouldn't have to worry that the next thing asked of them may be to forfeit their property.


Rocky Mount NC Telegram: http://www.rockymounttelegram.com

Monson to decide on land-taking act: Springfield MA Republican, 5/29/07

Monson to decide on land-taking act
By Lori Stabile

Robert E. Kaddy said he is pleased that Town Meeting voted to adopt the "private policy protection act" for Monson.

Kaddy went before the selectmen to make a case for the private property rights protection act last year, and selectmen voted to put the bylaw amendment on the May 14 Town Meeting ballot so voters could decide. The bylaw will protect taxpayers from land takings for private development.

"Who knows what's going to happen down the road," Kaddy said in a recent interview.

Monson is the second community in the state to adopt the act, Kaddy said. Scituate was the first, he said. The bylaw still needs approval from the attorney general's office, but he doesn't expect there to be any problems.

"There wasn't much discussion" at Town Meeting, "but I'm very happy that people approved it," Kaddy said. "It will protect them."

He became interested in the issue after reading about New London, Conn., where the city planned to take private homes through eminent domain proceedings, for a waterfront commercial development. The owners objected, but the U.S. Supreme Court sided with the city.

Any eminent domain takings in Monson have to be approved by Town Meeting, and officials here said they didn't think that what happened in Connecticut could occur here. Still, Kaddy persisted, and talked with state Sen. Stephen M. Brewer, D-Barre, about the proposal.

The act does not get rid of eminent domain provisions entirely. It does not prevent eminent domain when it comes to widening roads, or rights of way for sewer and water lines, or other public uses.

Kaddy, who moved to Monson five years ago from West Springfield, said Monson has great potential. He has some other ideas in the works, but said they are still in the beginning stages.


Springfield MA Republican: http://www.masslive.com/hampfrank/republican

Applaud Passage Of Eminent Domain Bill By Legislature: Texas and Southwestern Cattle Raisers Association, 5/29/07

The Texas and Southwestern Cattle Raisers Association [TSCRA] applauds the Texas Legislature and especially thanks Senator Kyle Janek (R-Houston) and Representative Beverly Woolley (R-Houston) for passing H.B. 2006 relating to the use of eminent domain by governmental entities.

“H.B. 2006 helps level the playing field for landowners who are condemned and ensures that they are justly compensated for the damage done to their property,” said Jon Means, TSCRA President. “We’re confident that Governor Perry, who strongly supports private property rights, will sign this bill when it reaches his desk.”

H.B. 2006 resulted from lengthy negotiations between legislators and stakeholders and an interim study by the Legislature. The bill defines “public use” in a way that is intended to prevent condemnation for economic development purposes, which was the subject of much controversy after the U.S. Supreme Court’s decision in Kelo v. City of New London. It also requires a condemning authority to make a bona fide offer to the landowner prior to condemnation and share all appraisal reports.

“TSCRA is hopeful that this legislation will encourage condemnors to make fair offers to landowners, which will ultimately reduce litigation and costs to the taxpayers of Texas,” said Jon Means.


Texas and Southwestern Cattle Raisers Association: http://www.cattlenetwork.com

Say no to home wreckers: Los Angeles CA Times, 5/29/07

Since a Supreme Court case ruled against homeowners in 2005, protections against eminent domain abuse are making their way to the ballot
Editorial

THE SUPREME COURT'S 2005 Kelo ruling upholding government power to seize peoples' houses and turn them over to private developers sent a chill through homeowners. It also sent a thrill through property rights activists who saw an opportunity to hitch the more radical parts of their agendas to ballot measures advertised simply as protection against home-stealing developers and politicians.

Last November, for example, California's ballot included a measure to block Kelo-like eminent domain but also, by the way, to effectively end basic zoning and environmental regulation. Fortunately, voters saw Proposition 90 for the Trojan horse that it was and rejected it.

But there will be other Kelo-fighting measures on at least one of the all-too-many California ballots next year. One proposal likely will pair protection against eminent domain abuse with a phaseout of rent-control laws. Rent stabilization would apply to current tenants but would elapse once they vacated their apartments. Voters must deal with that one, when the time comes, with eyes open and full awareness of its effect.

Meanwhile, Assemblyman Hector De La Torre (D-South Gate) has proposed a more modest ballot measure that directly takes on the Kelo threat without attempting to turn it into a broader, and unwarranted, political revolution. The language is not yet final and must get legislative approval before proceeding to the ballot. But its principles are sound: It would bar state or local government from condemning an owner-occupied home and transferring it to another private party.

The virtue of De La Torre's plan is that it recognizes the special status our society places on a home. No amount of money can adequately compensate for the emotional investment in a home, especially when it is lost to a government that has determined, for whatever reason, that some other private owner is better suited to have the real estate.

Small businesses would be able to choose between staying on as part of a revitalization plan, receiving the value of the business or receiving relocation funds and the full value of the property. Investment properties, of course, should also be protected from eminent domain abuse. In the end, though, their loss can be monetized and the owner compensated.

The details of this proposal are still taking shape, and those details may tell volumes about whether it deserves to become law. It should escape no one's attention that one of its sponsors, the League of California Cities, represents governments that use, and sometimes abuse, eminent domain. But its narrow, targeted approach is worthy of support.


Los Angeles CA Times: http://www.latimes.com

Eminent domain not likely in Loudoun: Louden Times-Mirror, Leesburg VA, 5/29/07

Letters

By Taylor Jarnagin, Sugarland Run

In the past few weeks I have heard a lot of buzz generated by Supervisor Mick Staton, Sugarland Run District, about the potential for the use of eminent domain to condemn private property in the "poorer" areas of eastern Loudoun County and replace the seized property with "town center" developments.

I heard Mr. Staton speak at the Sugarland Run HOA board of directors meeting in early May where he voiced this viewpoint. I also attended a Planning Commission meeting in Leesburg where I heard Mr. Staton downplay the eminent domain issue somewhat but still stress the threat of "redevelopment" (a bad thing) while praising "revitalization" (a good thing.)

Last week, I contacted the Loudoun County Zoning Department and asked them if there were any plans to use the power of eminent domain for economic redevelopment in Loudoun County. I was informed that there were no such plans that have been proposed.

If a developer in fact wished to conduct such a redevelopment, they would first need to submit a formal plan to the Loudoun County Department of Building and Development for review. The Planning Department, Planning Commission (appointed by the Board of Supervisors), Zoning Department, Transportation, VDOT, Health Department, etc. would all get to comment on the proposed development before there were public hearings and the matter voted upon by the Board of Supervisors.

May 21, during the public comment section of the Planning Commission meeting, I directly asked the members of the commission if any of them would support the use of eminent domain and vote to approve such a plan to the supervisors. Not one indicated that they would support such a use of eminent domain.

Clearly, there is no imminent threat that eminent domain will be used to seize private property in eastern Loudoun, western Loudoun - or anywhere else in the state of Virginia. I also found information on the Internet that indicates "in April 2007, the state of Virginia joined 37 states that have passed protection from the U.S. Supreme Court's very unpopular Kelo decision which allowed a city to take well cared for homes and make them available to a private developer to bring in more taxes and jobs." See http://www.vapropertyrights.org/.

Doesn't this action at the state level render the possibility of the use of eminent domain in Loudoun County a moot issue?

In this election campaign, we should all be sure to ask our current supervisors, as well as all who seek to replace them, what their views on eminent domain and private property rights are. We as voters need to be informed about the issues. I don't think we need to be stampeded by rumors of dire consequences by politicians seeking political gain.


Louden Times-Mirror, Leesburg VA: http://www.timescommunity.com

Port of Tacoma may take 140 acres of private property: KNDO/KNDU, Yakima WA, 5/30/07

Associated Press

The Port of Tacoma has decided to use its power of eminent domain to force the sale of 140 acres of privately owned property on the Tideflats.

The port wants the land to develop marine cargo terminals.

The commission says it will continue to negotiate with owners but would condemn the property if needed.

Yesterday's decision affects 22 property owners with businesses that have about 680 jobs.

Some of the affected businesses had representatives at yesterday's meeting and 1 of them said the decision is already hurting business. Gary Kehler of Graymont Limited says employees are worried about how long their jobs will last. The company brings in limestone by barge and sends processed products out by rail and truck.


KNDO/KNDU, Yakima WA: http://www.kndo.com