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H.B. 147 Enrolled

                 

MUNICIPAL CODE CONDEMNATION

                 
AMENDMENTS

                 
2004 GENERAL SESSION

                 
STATE OF UTAH

                 
Sponsor: LaVar Christensen

                 
                  LONG TITLE
                  General Description:
                      This bill modifies a provision relating to a municipality's purchase, lease, or
                  condemnation of water and waterworks systems.
                  Highlighted Provisions:
                      This bill:
                      .    establishes a presumption of the value of property in a condemnation proceeding
                  involving the taking of water, a waterworks system, water supply, or connected
                  property; and
                      .    prohibits the section amended by this bill from being construed to allow a
                  municipality to condemn a political subdivision or its property.
                  Monies Appropriated in this Bill:
                      None
                  Other Special Clauses:
                      None
                  Utah Code Sections Affected:
                  AMENDS:
                      10-7-4, Utah Code Annotated 1953
                 
                  Be it enacted by the Legislature of the state of Utah:
                      Section 1. Section 10-7-4 is amended to read:
                       10-7-4. Water supply -- Acquisition -- Condemnation -- Protest -- Special election
                  -- Determination of just compensation.


                      (1) The board of commissioners, city council or board of trustees of any city or town may
                  acquire, purchase or lease all or any part of any water, waterworks system, water supply or
                  property connected therewith, and whenever the governing body of a city or town shall deem it
                  necessary for the public good such city or town may bring condemnation proceedings to acquire
                  the same; provided, that if within thirty days after the passage and publication of a resolution or
                  ordinance for the purchase or lease or condemnation herein provided for one-third of the resident
                  taxpayers of the city or town, as shown by the assessment roll, shall protest against the purchase,
                  lease or condemnation proceedings contemplated, such proposed purchase, lease or
                  condemnation shall be referred to a special election, and if confirmed by a majority vote thereat,
                  shall take effect; otherwise it shall be void.
                      (2) In all condemnation proceedings the value of land affected by the taking must be
                  considered in connection with the water or water rights taken for the purpose of supplying the
                  city or town or the inhabitants thereof with water.
                      (3) In determining just compensation in a condemnation proceeding under this section in a
                  municipality located in a county of the first class where a determination of market value of what is
                  proposed to be taken is impractical because there is no meaningful market for what is proposed to
                  be taken, the value shall be:
                      (a) presumed to be the amount the owner paid to acquire ownership of what is proposed
                  to be taken, as adjusted by a change in value due to post-acquisition deterioration and any other
                  factor reasonably and equitably bearing on the value of what is proposed to be taken; and
                      (b) determined by applying equitable considerations including:
                      (i) whether the owner will be unjustly enriched;
                      (ii) whether the owner acquired the property by exaction or similar method; and
                      (iii) the extent to which the consideration the owner provided in acquiring the property
                  consists of an obligation to maintain the property and whether that obligation will be assumed by
                  the municipality because of the condemnation.
                      (4) This section may not be construed to provide the basis for a municipality's
                  condemnation of a political subdivision of the state or of the political subdivision's property or

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                  holdings.

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