Tag Archives: public use

I Was Wrong

5th Amendment:

…nor shall private property be taken for public use without just compensation

Having done further research, I was wrong to ever give credence to Berman v. Parker 348 U.S. 26 (1954), which ruled:

The decision is important in two ways. First, it established that aesthetics are a legitimate public purpose, for which government may regulate and condemn land. This principle has encouraged increased governmental intervention to achieve aesthetic and environmental goals. Second, Berman made clear that the phrase “public use” in the Takings Clause did not mean that land condemned had to remain in government ownership or be used physically by the public. The Court seemed to hold that eminent domain might be used to advance any goal that government could pursue under any of its powers. Subsequent decisions have confirmed this broad understanding of Berman. Thus, under the Takings Clause, “public use” means only public purpose.

and to Midkiff v. Hawaii Housing Authority 467 U.S. 229 (1984) which ruled:

In Midkiff the Court virtually eliminated public use as a limit on when governments can condemn property. A public use is present, the Court held, even when the property is immediately turned over to private hands and is never used by the public. The requirement is satisfied whenever the taking is rationally related to some conceivable public purpose; it is the purpose of the taking, not the use of the property, that is important. This meant, the Court said, that the condemnation power is equal in breadth to the police power. The Court also held that courts should defer to legislative determinations of whether a purpose is a public one unless the determination is without reasonable foundation.

Both of these decisions set the precedent for Kelo. Follow me over the flip…

Kelo was univocal to Berman and Midkiff in its rulings, but that doesn’t mean Berman and Midkiff were rightfully decided

Let’s start off with something self-evident: the public use clause is a meaningful limit on government’s eminent domain power, or else it would be surplusage. As they said in Marbury v. Madison 1 Cranch (5 U.S.) 137 (1803):

It cannot be presumed that any clause in the Constitution is intended to be without effect, and therefore such construction is inadmissible unless the words require it.

and in Myers v. United States, 272 U. S. 52, 151 (1926):

Such a construction, although having the support of as great an expounder of the Constitution as Mr. Webster, is not in accord with the usual canon of interpretation of that instrument, which requires that real effect should be given to all the words it uses

So now you may be saying that the Takings Clause could distinguish the kinds of takings that require compensation with those that don’t. That would mean that takings for private use don’t require any compensation at all, and that would go against a founding principle of the United States: all takings require compensation.

So now let’s go over the definition of “use.” Some may say that it means “the act of employing” others may say it means “help.” Both are right as far as the dictionary definition goes. As far as the constitution goes, let’s look at the other places the word “use” is used (no pun intended)

Article 1, Section 10, Clause 2:

No State shall, without the Consent of the Congress, lay any Imposts or Duties on Imports or Exports, except what may be absolutely necessary for executing it’s inspection Laws: and the net Produce of all Duties and Imposts, laid by any State on Imports or Exports, shall be for the Use of the Treasury of the United States; and all such Laws shall be subject to the Revision and Controul of the Congress.

And Article 1, section 8, clause 12:

To raise and support Armies, but no Appropriation of Money to that Use shall be for a longer Term than two Years

So let me ask you, don’t they mean that the Treasury will control and employ the revenue, and “employed to raise and support armies,” respectively? If yes, then how can one turn around and say they meant something entirely different in another part? Or for example, does use mean in the second one, “anything directed to achieving any military end”

Further, if the founders meant for public use to be as broad as some claim, why didn’t they say “general Welfare” or “public purpose?” They didn’t realize, you may say? Nope. Many founding era documents made the distinction. 6 of the original 13 states used the term “public use” while others says, “public exigencies” and “public necessity.”

Common law background further reinforces this. Methods have always existed for eliminating uses that negatively affected the public welfare: nuisance law. Nuisance law doesn’t require any compensation whatsoever.

To also say that “public use” means public purpose would say it’s redundant with the Necessary-and-proper clause:

Constitutional provision, U.S. Constitution, Art. I, Sec. 8, Cl. 18, empowering Congress to make all laws which shall be “necessary and proper” for carrying into execution the enumerated powers of Congress. The phrase is not limited to such measures as are absolutely necessary, but includes all appropriate means that are conducive to the end to be accomplished, and which in the judgment of Congress, will most advantageously [a]ffect it. 110 U.S. 421, 440. The clause is not a grant of power but a declaration that Congress possesses all the means necessary to carry out its specifically granted powers. 361 U.S. 234.

With the Necessary-and-proper clause, the Public Use Clause would be irrelevant if it meant “public purpose.” The explicit mention of one thing excludes all others. So even if it said, “nor shall private property be taken without just compensation,” they wouldn’t be able to take it for whatever reason. Necessary-and-proper clause would ensure they only do it to exercise an enumerated power.

So with the Necessary-and-proper clause alone, taking would be permissible only for a valid public purpose, and to say the Public Use Clause means the same thing would again, make it surplusage

Shifting to what inspired the Berman v. Parker and Midkiff v. Hawaii Housing Authority rulings. The “public purpose” interpretation of the Public Use Clause started in Fallbrook Irrigation Dist. v. Bradley, 164 U. S. 112, 161-162 (1896):

To irrigate, and thus to bring into possible cultivation, these large masses of otherwise worthless lands, would seem to be a public purpose, and a matter of public interest, not confined to the landowners, or even to any one section of the state. The fact that the use of the water is limited to the landowner is not, therefore, a fatal objection to this legislation. It is not essential that the entire community, or even any considerable portion thereof, should directly enjoy or participate in an improvement in order to constitute a public use.

That broad statement constitutes as dictum because the law in question made clear: (Ibid at 162)

All landowners in the district have the right to a proportionate share of the water, and no one landowner is favored above his fellow in his right to the use of the water

The SCOTUS cited no authority for the dictum.

Then to United States v. Gettysburg Electric R. Co., 160 U. S. 668 (1896), where the government was using eminent domain to build battlefield memorials at Gettysburg. That constitutes as a public use by anyone’s standards. But, the SCOTUS again engaged in dictum:

In these acts of congress, and in the joint resolution, the intended use of this land is plainly set forth. It is stated in the second volume of Judge Dillon’s work on Municipal Corporations (4th Ed. 600) that, when the legislature has declared the use or purpose to be a public one, its judgment will be respected by the courts, unless the use be palpably without reasonable foundation. Many authorities are cited in the note, and, indeed, the rule commends itself as a rational and proper one.

That was unnecessary and unjustifiable. To defer the definition of “public use” to the legislature is like deferring to the accused the decision of whether he/she’s guilty. Or to keep it in context with the Bill of Rights: Do we defer to the legislature’s interpretation of when a search or seizure is “reasonable?”

In Berman, they upheld the dicta:

Subject to specific constitutional limitations, when the legislature has spoken, the public interest has been declared in terms well nigh conclusive. In such cases, the legislature, not the judiciary, is the main guardian of the public needs to be served by social legislation, whether it be Congress legislating concerning the District of Columbia


And in both, they equated eminent domain power with the police power. More explicitly in Midkiff:

The “public use” requirement is thus coterminous with the scope of a sovereign’s police powers.

That was just pucky. As I mentioned above, traditional police and regulatory power to abate a nuisance required no compensation whatsoever. In Mugler v. Kansas, 123 U.S. 623 (1887):

As already stated, the present case must be governed by principles that do not involve the power of eminent domain, in the exercise of which property may not be taken for public use without compensation. A prohibition simply upon the use of property for purposes that are declared, by valid legislation, to be injurious to the health, morals, or safety of the community, cannot, in any just sense, be deemed a taking or an appropriation of property for the public benefit. Such legislation does not disturb the owner in the control or use of his property for lawful purposes, nor restrict his right to dispose of it, but is only a declaration by the state that its use by any one, for certain forbidden purposes, is prejudicial to the public interests. Nor can legislation of that character come within the fourteenth amendment, in any case, unless it is apparent that its real object is not to protect the community, or to promote the general well-being, but, under the guise of police regulation, to deprive the owner of his liberty and property, without due process of law. The power which the states have of prohibiting such use by individuals of their property, as will be prejudicial to the health, the morals, or the safety of the public, is not, and, consistently with the existence and safety of organized society, cannot be, burdened with the condition that the state must compensate such individual owners for pecuniary losses they may sustain, by reason of their not being permitted, by a noxious use of their property, to inflict injury upon the community. The exercise of the police power by the destruction of property which is itself a public nuisance, or the prohibition of its use in a particular way, whereby its value becomes depreciated, is very different from taking property for public use, or from depriving a person of his property without due process of law. In the one case, a nuisance only is abated; in the other, unoffending property is taken away from an innocent owner. It is true, when the defendants in these cases purchased or erected their breweries, the laws of the state did not forbid the manufacture of intoxicating liquors. But the state did not thereby give any assurance, or come under an obligation, that its legislation upon that subject would remain unchanged.

So there you have it. Kelo wasn’t unprecedented, but it was based off previous dicta. The Public Use Clause was meant to be more restrictive than “public purpose.” Our founders understood that the taking of an innocent person’s property should not be a regular means of exercising their enumerated powers. The question of whether the government can regulate property with its police power is different from whether the government can take property with eminent domain. State nuisance law, not eminent domain, would have been the appropriate way to deal with Berman and Midkiff

California Property Owners and Farmland Protection Act

Government Acquisition, Regulation of Private Property. Constitutional Amendment

Bars state and local governments from condemning or damaging private property for private uses. Prohibits rent control and similar measures. Prohibits deference to government in property rights cases. Defines “just compensation.” Requires an award of attorneys fees and costs if a property owner obtains a judgment for more than the amount offered by the government. Requires government to offer to original owner of condemned property the right to repurchase property at condemned price when property is put to substantially different use than was publicly stated. Summary of estimate by Legislative Analyst and Director of Finance of fiscal impact on state and local government: Increased costs to many governments due to the measure’s restrictions. The fiscal effect on most governments probably would not be significant.

For the Legislative Analysis: http://lao.ca.gov/ba…

I could go on and argue in favor of property rights, but I did that in my rant against ACA 8. I don’t want to be repetitive

Instead, I am going to talk about the California Property Owners and Farmland Protection Act, and why this initiative is the right way to go.

*This gives equal protection to ALL private property. People’s constitutional rights are not increased or decreased based on the kind of property they own

*This still allows property to be taken for public use. It still allows to take property for public use and contract out

*Along with not being allowed to take property for private use, government also may not be taken for the same use as the current owner (i.e. taking an apartment complex and replacing it with public housing)

*Government may not take land for the purpose of selling the natural resources

*If the government takes the property under false pretenses or abandons its plans, the owner may repurchase it for the original price and have its tax assessed at the value where it was originally condemned. So they can’t take property, abandon their plans, resell it to them as a backdoor way to increase people’s taxes.

*If farmers or business owners are evicted by eminent domain they are entitled to temporary business losses, relocation expenses, business reestablishment costs and other reasonable expenses

*Governments may not limit the price at which the owner may lease or sell their property. However, all tenants currently living in a rent-controlled home may still do so

*Nothing in this proposed ballot measure prohibits or limits legitimate land use decisions, zoning, work place laws, or environmental protections

The 3 bold points are the ones I will address. So number 1:

1. *Government may not take land for the purpose of selling the natural resources

Some have argued that this will prevent the state from using eminent domain for water storage. Fortunately, that claim doesn’t hold water (no pun intended)

The prohibition on taking property “for the consumption of natural resources,” relates directly to the property being “taken.” Where property is acquired in order to construct a water storage or conveyance facility, the “public use” to which the property is put is for a water storage project or conveyance facility. It’s not for the consumption of natural resources appurtenant to the property acquired

“but the water will eventually be consumed.” Okay, if that was the test, then I guess the public agency could “take” land and perhaps water to construct a reservoir as long as it wasn’t for “consumptive” uses, like recreation or wildlife enhancement

Another example of why the test is not whether non-appurtenant resources are “consumed” is where a public agency already owns land over a geothermal energy source and a geothermal power facility. Granted, this would prohibit taking the property to which a geothermal source is appurtenant. However, with the logic of those who say it would prohibit taking property for water storage, this would prohibit taking property for transmission lines.

This allows eminent domain for public use. Public use is defined in this as, ” use and ownership by a public agency or a regulated public utility for the public use stated at the time of the taking, including public facilities, public transportation, and public utilities…” Water storage facilities ARE public facilities (Tower Acton Holdings v. Los Angeles County Waterworks Dist. No. 37 [2002])

The prohibition on taking property for the consumption of natural resources is for those appurtenant to the land that’s getting acquired, NOT non-appurtenant natural resources which are acquired separately and may be stored at the acquired property

Who does all this come from? Stuart L. Somach

2. *Governments may not limit the price at which the owner may lease or sell their property. However, all tenants currently living in a rent-controlled home may still do so

First let’s start off with why rent controls are bad. They cause a shortage of housing (builders don’t build knowing they won’t be able to reap the fruits of his labor), resulting in the landlords getting a captive audience, and then no incentive to pay for maintenance or do anything that enhances the person’s living. The foreign minister of Vietnam in 1989 said it best, “Americans could not destroy Hanoi, but we have destroyed our city through very low rents. We realized it is stupid and must change policy.”

If housing the poor provides such a public benefit, then the public should pay for it, not just the landlords. Means-tested housing vouchers are a better way to go

Rent controls are in a sense worse than eminent domain, because at least with eminent domain they pay you. Rent controls are transferring a specific economic benefit from the property value from one owner to another (NOT to the public) without just compensation. They OWN the property, it is their right to set the price at which they are willing to let other people use it

That aside, all tenants currently living in a rent-controlled home may continue to do so. The repeal of rent controls take effect ONLY after they have lawfully vacated, and state law prohibits evicting tenants merely to increase rents

3. *Nothing in this proposed ballot measure prohibits or limits legitimate land use decisions, zoning, work place laws, or environmental protections

This does prohibit, “regulation of the ownership, occupancy or use of privately owned real property or associated property rights in order to transfer an economic benefit to one or more private persons at the expense of the property owner.”

Examples of that are rent control and mandatory inclusionary housing. Regulations, where a specific ECONOMIC benefit is TRANSFERRED to one or more PRIVATE persons at the expense of the property owner might be affected

Land use, zoning, and environmental regulations are done for the PUBLIC benefit, and do not contain a transfer of a specific economic benefit

Wishing this was like Prop 90 doesn’t make it so. If this delved into regulatory takings like Prop 90 did, the summary would look a lot more like this:

Bars state/local governments from condemning or damaging private property to promote other private projects, uses. Limits government’s authority to adopt certain land use, housing, consumer, environmental, workplace laws/regulations. Fiscal Impact: Increased annual government costs to pay property owners for losses to their property associated with new laws and rules, and for property acquisitions. These costs are unknown, but potentially significant on a statewide basis.

CPOFPA doesn’t have anything like that. The fiscal impact for this one instead says, “The fiscal effect on most governments probably would not be significant”

Son of Prop 90?

Prop 90 description:

Bars state/local governments from condemning or damaging private property to promote other private projects, uses. Limits government’s authority to adopt certain land use, housing, consumer, environmental, workplace laws/regulations. Fiscal Impact: Increased annual government costs to pay property owners for losses to their property associated with new laws and rules, and for property acquisitions. These costs are unknown, but potentially significant on a statewide basis.

vs.

New real reform description:

Bars state and local governments from condemning or damaging private property for private uses. Prohibits rent control and similar measures. Prohibits deference to government in property rights cases. Defines “just compensation.” Requires an award of attorneys fees and costs if a property owner obtains a judgment for more than the amount offered by the government. Requires government to offer to original owner of condemned property the right to repurchase property at condemned price when property is put to substantially different use than was publicly stated. Summary of estimate by Legislative Analyst and Director of Finance of fiscal impact on state and local government: Increased costs to many governments due to the measure’s restrictions. The fiscal effect on most governments probably would not be significant.

Wishing this is the same old Prop 90 doesn’t make it so. If you seriously think this is, back it up

EMINENT DOMAIN REFORM WITHOUT STRIPPING LAND USE: FINALLY!

Well, I guess the third time is a charm. http://ag.ca.gov/cms…

The first and second time, those circulating an eminent domain initiative failed to remove the provisions undoing land use, environmental regulations, etc…

This time, they have taken out the “damage” provisions. You can look for yourself, none of that in sight

Except on the last section, they say that all rent controls may only stay in effect as long as “at least one of the tenants of such unit or space as of the effective date (“qualified tenant”) continues to live in such unit or space as his or her principal place of residence.”

I can agree that rent control doesn’t belong in this initiative, but that won’t stop me from supporting it. Does anyone oppose this?