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S.B. 210

             1     

EMINENT DOMAIN CHANGES

             2     
2006 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Chief Sponsor: Scott K. Jenkins

             5     
House Sponsor: ____________

             6     
             7      LONG TITLE
             8      General Description:
             9          This bill modifies a provision related to the acquisition of property by eminent domain
             10      in a redevelopment project area.
             11      Highlighted Provisions:
             12          This bill:
             13          .    makes an exception to the prohibition against acquiring property by eminent
             14      domain;
             15          .    provides that a redevelopment agency may acquire property by eminent domain if:
             16              .    the agency has made a finding of blight;
             17              .    2/3 of property owners submit a petition requesting the agency to acquire
             18      property by eminent domain;
             19              .    the agency board approves the petition;
             20              .    at least 70% of the property is developed and not vacant;
             21              .    at least 75% of the property is committed to a developer by option or purchase
             22      agreement; and
             23              .    the agency board, by a 75% vote, adopts a resolution approving the use of
             24      eminent domain;
             25          .    requires an agency to comply with relocation assistance provisions with respect to
             26      the exercise of eminent domain; and
             27          .    provides that provisions related to owner and tenant participation in a


             28      redevelopment project do not apply to a project area where property has been acquired by
             29      eminent domain as provided in this bill.
             30      Monies Appropriated in this Bill:
             31          None
             32      Other Special Clauses:
             33          None
             34      Utah Code Sections Affected:
             35      AMENDS:
             36          17B-4-1101, as last amended by Chapter 292, Laws of Utah 2005
             37     
             38      Be it enacted by the Legislature of the state of Utah:
             39          Section 1. Section 17B-4-1101 is amended to read:
             40           17B-4-1101. Use of eminent domain prohibited -- Exception -- Use of eminent
             41      domain following property owner petition.
             42          (1) Except as provided in Section 17B-4-206 and in Subsection (2), an agency may not
             43      use eminent domain to acquire property.
             44          (2) (a) Notwithstanding the prohibition under Subsection (1) against using eminent
             45      domain to acquire property, an agency may acquire property by eminent domain as provided in
             46      this Subsection (2).
             47          (b) An agency may use eminent domain to acquire property in a project area if:
             48          (i) the agency board has made a finding of blight under Section 17B-4-604 applicable
             49      to the property in the project area;
             50          (ii) the owners of at least 2/3 of the acreage of the property in the project area sign and
             51      submit to the agency a written petition requesting the agency to acquire property within the
             52      project area by eminent domain;
             53          (iii) copies of option or purchase agreements applicable to at least 75% of the acreage
             54      of the property within the project area are filed with the agency, indicating that the owner of
             55      each parcel affected by an option to purchase or purchase agreement has voluntarily and
             56      without threat of eminent domain given an option to purchase the owner's property or has
             57      entered into a contract to sell the owner's property to a person intending to develop the property
             58      within the project area;


             59          (iv) at least 70% of the property in the project area is developed and not vacant land;
             60          (v) the agency board, after at least 15 days notice by certified mail to all assessment
             61      owners of property in the project area, approves by majority vote the property owner petition
             62      under Subsection (2)(b)(ii); and
             63          (vi) the agency board, after at least 15 days notice by certified mail to all assessment
             64      owners of property in the project area, approves by a vote of at least 75% of all agency board
             65      members a final resolution approving the use of eminent domain to acquire the remaining
             66      portions of the project area.
             67          (c) In acquiring property by eminent domain under this Subsection (2), each agency
             68      shall comply with Title 57, Chapter 12, Utah Relocation Assistance Act.
             69          (d) Section 17B-4-901 , regarding property owner and tenant participation in a
             70      redevelopment project, does not apply to the owners or tenants of property in a project area in
             71      which property has been acquired by eminent domain under this Subsection (2).




Legislative Review Note
    as of 2-3-06 11:19 AM


Based on a limited legal review, this legislation has not been determined to have a high
probability of being held unconstitutional.

Office of Legislative Research and General Counsel


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