Senate Bill S795

                                 BILL NUMBER:  S795

 TITLE OF BILL :
An act to provide for the creation of a temporary state commission to
examine eminent domain laws and make recommendations for further
reforms; and making an appropriation therefor


 PURPOSE :
The intent of this legislation is to establish a temporary commission
on eminent domain reform to examine, evaluate, and make
recommendations concerning the scope and effectiveness of the eminent
domain procedure law.

 SUMMARY OF LEGISLATION :
Section 1.
1. A temporary commission on eminent domain reform is hereby created
to examine, evaluate, and make recommendations concerning the scope
and effectiveness of the eminent domain procedure law.

2. Defines specifics that the commission shall examine at least the
following: (a) the appropriate constitutional standard for
condemnation proceedings for economic development purposes; (b) the
procedural fairness of the eminent domain procedure laws, including
statutory definitions thereunder; (c) the need for the creation of an
eminent domain ombudsman to serve as an independent office to
              

safeguard the rights of property owners and provide information
regarding the eminent domain procedure law; and (d) just compensation
provided to affected property owners.

3. The commission shall consist of thirteen members. Seven members
will be appointed by the governor, three shall be representatives of
local governments and three shall be property rights advocates to be
appointed by and with the advice and consent of the senate; two
members to be appointed by the temporary president of the senate; two
members to be appointed by the speaker of the assembly; one member to
be appointed by the minority leader of the senate; one member to be
appointed by the minority leader of the assembly.

4. The members of the commission shall receive no compensation for
their services, but shall be allowed their actual and necessary
expenses incurred in the performance of their duties thereunder.

5. The commission shall begin to act ninety days after the effective
date of this act. A quorum shall consist of a majority of the members
of the commission entitled to vote on the matter under consideration.
Approval of any matter shall require the affirmative vote of a
majority of the members voting thereon.

6. The commission may employ and at pleasure remove such personnel as
it may deem necessary for the performance of its functions and fix
their compensation within the amounts made available therefor.

7. The commission may meet within and without the state, shall hold
public hearings, and shall have all the powers of a legislative
committee pursuant to the legislative law.

8. The commission shall submit its findings and recommendations in a
report to the governor, the temporary president of the senate, and the
speaker of the assembly not later than one year after it first
convenes.

Section 2. Appropriates a minimum sum of one hundred thousand dollars
to the commission to pay the costs incurred in carrying out its
duties. Such moneys shall be payable out of the state treasury in the
general fund to the credit of the state purposes account after audit
by and on the warrant of the comptroller upon vouchers certified or
approved by the chairperson or vice-chairperson of the commission as
prescribed by law.

Section 3. Effective date.

 EXISTING LAW :
None.

 JUSTIFICATION :
The United States Supreme Court's decision in Kelo v.  The City of New
London, enabled the City of New London to condemn and take private
property by the use of eminent domain and transfer ownership to a
private developer to further an economic development plan for the
city. This decision has raised questions on whether legislative action
should be taken in New York State to address to the Supreme Court's
ruling.

In response to these questions and concerns, the Senate Committee on
Commerce, Economic Development and Small Business in conjunction with
the Senate Committee on Local Governments held hearings throughout the
State on the issue of eminent domain. The statewide hearings were
designed to assess the benefits and shortcomings of our current system
with an eye towards a comprehensive eminent domain package that would
balance the need to preserve a limited power of eminent domain for
local governments with the demand to secure the rights of property
owners.

Although each geographic region highlighted different concerns, two
themes were consistent throughout the State. First, New York's eminent
domain law is not significantly affected by the Supreme Court
decision. Second, the State and its citizens would benefit from a more
intensive evaluation of the technical issues within the eminent domain
law to determine whether modifications are necessary.

This legislation addresses these issues by creating a temporary
commission on eminent domain reform. The temporary commission on
eminent domain reform will consist of experts familiar to both sides
of the eminent domain issue. The commission will examine, evaluate,
and make recommendations concerning the scope and effectiveness of the
eminent domain procedure law. Particularly, this commission will
further study issues that may require adjustment such as the
definitions of "blight" and "public use." These issues are severely
technical in nature. Therefore, it is important that experts in this
field carefully define key terms in order to prevent unintended
consequences.

Economic development improves the lives of all New Yorkers by
increasing the tax base, creating new jobs and improving the economy
as a whole. Although eminent domain is a valuable economic development
tool, protections are necessary to ensure that individuals are not
stripped of their inalienable right to own property. Thus, this
legislation makes some necessary changes to the compensation afforded
to displaced property owners to assure a greater degree of fairness in
the condemnation process. By creating a commission on eminent domain
reform, this legislation carefully evaluates the eminent domain issue
so that proper technical adjustments can be made in the future. We, as
a State, have spent a great deal of time and resources making New York
a better place to live and do business. We cannot act hastily with
such an intricate and important issue. That is why, this legislation
takes a pragmatic, but necessary, approach towards the overall goal of
balancing the needs of our local governments with the rights of our
citizens to own property.

 LEGISLATIVE HISTORY :
2005-2006: S.8390 - Passed Senate.; 2007-2008 Passed Senate.
 FISCAL IMPLICATIONS :
To be determined.

 EFFECTIVE DATE :
This act shall take effect immediately; provided further that the
temporary state Commission established pursuant to subsection one of
this act shall expire and be terminated on the first day next
succeeding the date of the submission of its report as provided in
subsection eight of section one of this act; and provided further,
however that the chairperson of the temporary commission on eminent
domain reform shall notify the legislative bill drafting commission
upon the submission of its report as provided for in subsection eight
of section one of this act in order that the commission may maintain
an accurate and timely effective data base of the official text of the
laws of the state of New York in furtherance of effecting the
provisions of section 44 of the legislative law and section 70-b of
the public officers law.