California’s “experiment” will be closely watched by other states as the need for eminent domain reform hit a fevered pitch nationwide following the United States Supreme Court’s decision in Kelo v. City of New London.  In New Jersey, municipalities have adopted local ordinances to ban the use of eminent domain for redevelopment purposes, while at least one town has abandoned redevelopment in favor of rehabilitation.

A copy of the California Supreme Court’s opinion in Cal. Redevelopment Assoc. v. Matosantos, Docket No. S194861 (Ca. Dec. 29, 2011) can be found here.

For more on the California story, please see the following blog posts and articles:

Taking from the Takers? California Budget Would Eliminate Redevelopment Agencies (New Jersey Condemnation Law Blog)

Abandoning Redevelopment: California’s Big Experiment (UrbanLand)

California high court puts redevelopment agencies out of business (L.A. Times)

California Redevelopment Agencies: Counties Split On Supreme Court Ruling (Huffington Post)

For more on actions taken by New Jersey’s municipalities, please see the following blog posts:

Long Branch Considers Rehabilitation in Lieu of Redevelopment

Spring Lake Council Enacts Anti-Eminent Domain Ordinance by Overturning Mayor’s Vetoes

Old Bridge Adopts Ordinance Restricting Eminent Domain

Photo courtesy of www.vtdigger.org

The license was renewed by the NRC in March of 2011 about one year after the Vermont Senate voted against re-licensing the plant due to concerns over radiation leaks.  The owners of the plant filed suit in federal court in April of 2011 arguing that the State law was preempted by federal law.  As reported by the New York Times four days ago, the property owner prevailed.  The federal district court ruled that a State had no power to regulate “nuclear safety” a province solely within the authority of the federal government.

However, it has been suggested that the State could use the power of eminent domain to take the nuclear power plant property.  There also appears to be at least one historic example in support of the idea.  New Yorkers successfully shuttered the Shoreham Nuclear Power Plant in 1985 by creating a public utility authority with the power to seize the stock and assets (i.e. take over) of public utilities operating within the State.  While it does not appear that New York had to utilize the awesome power of eminent domain, passage of the Legislation allowing its use was apparently enough to bring the plant’s owner to the negotiating table.

It will be interesting to see if Vermonters resort to this tactic in confronting their concerns over nuclear power.  It must, of course, be remembered that the United States Constitution provides – “nor shall private property be taken for public use without just compensation.”

So Vermonters would have to pay for what they take if they decide to go that route.  Stay tuned to this one.

Related articles

• Challenging Ellen Brown on how counties (can’t) use eminent domain (fauxcapitalist.com)

The first phase of the project calls for the redeveloper to construct 268 housing units on a Morristown DPW property off of early street.  10% of those units will be set aside as affordable housing.

The Plan authorizes the use of eminent domain on any of the properties within the designated redevelopment area, although it remains to be seen if the condemnation process will, in fact, be utilized.  Area residents and businesses may also be entitled to relocation assistance in the event that they are displaced.

More information about the approval and the meeting is available in John Dunphy’s article in today’s Morristown Patch, available here.

Related articles

• New Speedwell Avenue Redevelopment Plan Adopted (njcondemnationlaw.com)
• Morristown – Amended Speedwell Avenue Redevelopment Plan on January 12, 2012 Agenda (njcondemnationlaw.com)
• Eliminating redevelopment – what will it cost? (romickinoakley.wordpress.com)
• Braddock Redevelopment Project To Fill Gaping Hole Left By UPMC Demolition (progresspennsylvania.wordpress.com)

IPhoto Credit – John Dunphy, Morristown Patch

As noted in the Patch article, its been a long-time coming.  The redevelopment initiative for the Speedwell Avenue area began in the early 2000s with an actual “in need of redevelopment” designation occurring for a portion of the area around 2004.  The full text of the Speedwell Avenue – Final Amended and Restated Redevelopment Agreement may be viewed on the Town of Morristown website here.

Several businesses in that general vicinity have continued to thrive during the period in question – Martys Reliable Cycle Center, Rago Brothers, Community Options and others.  We’re interested to see if the Town’s “redevelopment” efforts attract new businesses to the area.

We’ll keep you posted as this project progresses.

For more background on this topic, see:

New Speedwell Redevelopment Plan Adopted

Morristown’s Speedwell Redevelopment Moving Forward (Slowly)

Morristown’s Speedwell Redevelopment Hot Topic In Debate

The significant change in the State law occurred in 2008, when the New Jersey Supreme Court issued the Gallenthin v. Borough of Paulsboro decision.   The Court signaled to all municipalities in the State that designations based on an overly broad reading of criteria “e” (that allowed merely underutilized areas to be deemed in need of redevelopment) did not satisfy the Constitution’s requirement of blight.  Without the predicate finding of constitutional blight, operation of the redevelopment laws and concomitant tax and zoning benefits  are not allowed.  In addition, the power of eminent domain would be lost if there is a determination that the area is not a blighted area.

We’ll be interested to see if the Planning Board recommends a continued blight declaration after evaluating the area in light of Gallenthin.

Related articles

• Harrison Tp (Gloucester) Adds Redevelopment Area (njcondemnationlaw.com)
• CA Supreme Court to rule on redevelopment fight (mercurynews.com)
• Fort Lee Looking to Expand Redevelopment Area (njcondemnationlaw.com)
• Eliminating redevelopment – what will it cost? (romickinoakley.wordpress.com)
• Closing Down Redevelopment Agencies Could Mean More Money for Schools (educationclearinghouse.wordpress.com)

Photo courtesy of www.law.wm.edu

Edward McKirdy and Harry Riskin, McKirdy & Riskin‘s founding partners, recently attended the Brigham-Kanner Property Rights Conference in Beijing, China.  The annual conference, which focuses on the interplay of civil rights and property rights, brought legal scholars, jurists, and practitioners from the United States and China together at Tsinghua University in Beijing to discuss and debate the global evolution of property rights.  During the conference retired United States Supreme Court Justice Sandra Day O’Connor was awarded the 2011 Brigham-Kanner Prize.  In her acceptance remarks, Justice O’Connor discussed the United States’ history of property rights protections, China’s emerging laws, and her own property rights decisions.

For more on this story, please see the following blog posts and new articles:

First International Property Rights Conference Completed in Beijing – William & Mary Law School

Beijing Conference Explores the Importance of Property Rights on a Global Scale – William & Mary Law School

Owners’ Counsel of America Participates in International Property Rights Conference in Beijing – Owners’ Counsel of America Blog

Summary of Brigham-Kanner Property Law Conference — www.inversecondemnation.com

The author wishes to acknowledge the assistance of Cory K. Kestner, Esq., of McKirdy & Riskin, PA, in the preparation of this article

Related articles

• McKirdy & Riskin Attorneys Named to Faculty of National Eminent Domain Conference (njcondemnationlaw.com)
• Pipeline Protests Reach the White House (njcondemnationlaw.com)
• Harvey Cedars Complaining About Payments to Property Owners for Beachfront Takings (njcondemnationlaw.com)

Photo courtesy of www.multihousingnews.com.

Designation as an area in need of redevelopment means that the municipality now has at its disposal the constitutional right to clear or redevelop the “blighted” or “redevelopment area.”  The municipality also has the statutory  right to prepare a redevelopment plan and then select a redeveloper who may or may not be the current owner of the property.  Thereafter, the municipality may also exercise its power of eminent domain to take the private property.

We’ll see how their cooperative efforts progress.

Related articles

• Who’s Going to Wipe Away Redeveloper’s Tears? (njcondemnationlaw.com)
• Fort Lee Looking to Expand Redevelopment Area (njcondemnationlaw.com)
• Morristown’s Speedwell Redevelopment Moving Forward (Slowly) (njcondemnationlaw.com)
• Redevelopment Beginning at Former NL Industries Site (njcondemnationlaw.com)

According to a Ft. Lee Patch article, the “properties are identified on the Tax Map of the Borough of Fort Lee as Block 4851, Lots 2, 3, and 4; a portion of Block 4855, Lot 2 and lands within the street right-of-way that were vacated by the realignment of Central Road with Federspiel Street as part of the Main Street widening project.” The properties are sometimes referred to as the “Centuria” or “Helmsley” property.

Anyone interested in finding out more can attend the special meeting, or we’ll keep you posted.

Related articles

• Redevelopment Beginning at Former NL Industries Site (njcondemnationlaw.com)
• Jersey City: About Face! (njcondemnationlaw.com)
• Who’s Going to Wipe Away Redeveloper’s Tears? (njcondemnationlaw.com)

Image via Wikipedia

McKirdy & Riskin’s Harry Riskin and Anthony Della Pelle will be participating as faculty in the American Law Institute – American Bar Association‘s 29th Annual “Eminent Domain and Land Valuation Litigation” conference, to be held January 26th to January 28th, 2012 at the U.S. Grant Hotel in San Diego.  Harry will be speaking on the topic:  ”Not Now, But Soon:  Making a Reasonable Probability Case for Rezoning, Assemblage, Lease Renewals, and Other Value Enhancements”.  Tony’s session, “Strategic Motion Practice:  A Foundation for Winning Your Trial” , will be presented in the Condemnation 101 program at the conference.  Each conference offers 16 or more hours of CLE credit and features faculty members and attendees from around the nation, including attorneys, appraisers, right of way professionals and others who will share valuable experiences and engage in discussion on cutting-edge issues in the field.  For more information, click here.