Mr. Chairman, I thank my good friend, the gentlewoman from California (Ms. Waters). I must rise to object to this bill. I think it is too broad. The period of time within which you can take legal action is too long, and in some specific…
Mr. Chairman, I thank my good friend, the gentlewoman from California (Ms. Waters).
I must rise to object to this bill. I think it is too broad. The period of time within which you can take legal action is too long, and in some specific cases it is too restrictive. It will be subject to the law of unintended consequences.
My views, I have to acknowledge, are formed by having been mayor of Alexandria, Virginia. We did at times use the power of eminent domain primarily to help lower-income people to restore blighted areas of the city. In those situations, the improvement of those rundown areas could not have happened without government intervention because the private sector simply was not willing to make the investment.
We were able to establish scattered site public housing throughout the city. We were able to achieve substantial economic improvements along the Alexandria waterfront which had been relegated to a place of neglect where only people of the lowest income lived. And now people of all incomes are able to take advantage of public use in these areas, and we have expanded the availability of affordable housing.
We could not have done it without this power. And, in fact, if our constituents did not like what we were doing, they had the ability to take us out of office through the normal democratic process. I understand that this is a power that can be abused, but that possibility does not warrant its elimination.
In fact, if you want it restricted, the proper place to do so is not at the Federal level. It is at the State and local level.
I have an amendment that will correct this bill so that it will not be subject to the law of unintended consequences. I intend to introduce that amendment shortly.
Mr. Chairman, I offer an amendment.
Mr. Chairman, I yield myself such time as I may consume.
Well, here we have those folks who are considered to be on the far left and those on the far right and those just left of center and those just right of center; everybody agrees that this bill should be passed. It reminds me of a comment or observation that Plato once made: ``The minority are oftentimes wrong, but the majority always are.''
Now, I can understand why we are reflexively doing this bill, but I cannot understand why we would make this bill so broad with such an interminably long period of time with which to take any grievance to the courts, that it will create unintended consequences which will cause very severe consequences and economic problems for localities all over our country.
We do not have one dictatorship at the local level of American government. Every single official at every single level of local government is elected, so all of them are responsible to the voters; and that is where this should be decided.
But I am going to suggest two changes that will be achieved by my amendment. They address the two major deficiencies of this bill: first, it is much too broad; and, secondly, the period of time within which a government can be sued is much too long.
The broad definition of ``economic development'' in section 8 includes a conveyance or lease of property that is ``to increase tax revenue, tax base employment, or general economic health.''
Unfortunately, practically every conveyance of condemned property can have at least an incidental or secondary purpose and effect of increasing taxes, creating jobs, or otherwise producing a positive economic impact, virtually everything that a local government may need to do even though that might not be the primary purpose of the taking.
So the bill has the potential of prohibiting virtually every taking which occurs as part of public-private partnerships that are not for economic development purposes at all, for example, the conveyance or lease of condemned property as part of a public-private partnership to a private entity that could be used for a waste-to-energy facility.
The processing of solid waste would be prohibited under this. Delivering recreational services in a public area, a public park. Supplying affordable housing. I could give you any number of examples that would have been precluded under this. Providing a parking facility in a downtown that is desperately needed in many communities.
These projects may well produce tax revenues, new jobs, a healthier economy, but that is not the primary purpose of these projects. Their primary purpose is simply to deliver a service that the local community needs and to do so by partnering with a private for-profit entity. Yet the broad language of the bill would prohibit virtually all such public-private partnerships.
My amendment addresses this problem by making clear that the bill reaches the conveyance or lease of condemned property definition only when the primary purpose of the transaction is the increase of taxes, jobs or economic benefits. That is a change that is very much needed to this legislation.
Secondly, the time to file suit under the bill is much too long. Under the bill, a cause of action must be brought no later than 7 years following the conclusion of condemnation proceedings and the subsequent use of such condemned property for economic development. So where you have a property that was condemned, say, next year, in 2006, and the owner believes its economic development use begins in 2011, the owner has until 2018, 12 years after the property's condemnation, to challenge its validity. In many cases, the statute could extend the right to sue for generations to come.
There is no need or reason to provide such a lengthy statute of limitations. The validity of a condemnation action has to be put to rest in some reasonable time; and the Judiciary Committee has, in other contexts, agreed with that principle.
The 7 years should be measured from the conclusion of the condemnation proceeding. At this time, a property owner knows whether his or her property has been taken, knows the reasons for the taking, and can judge whether the taking is subject to the bill's prohibition. My amendment would reduce the statute of limitations to 7 years from the end of the condemnation proceeding, not 7 years after the property's economic development.
Mr. Chairman, this bill needs additional clarification, and I do think this amendment would provide it. I have substantial problems with this bill. So I am reluctant to fix it, but I know it is going to pass. If it passes, it should be a bill that does not cause the kind of unintended consequences this bill will impose on every locally elected government.
Third, the bill defines ``economic development'' as conveying or leasing condemned property from one private party to another private party--but not from the condemning government to a private party. However, in the ``real world,'' many economic development projects involve the conveyance of condemned property from the condemning authority to a private person or entity--a project the bill does not reach. For instance, the bill would not reach the conveyance by a city or county of 10 acres of taken property to, say, the Marriott Corporation for the use as a convention center, even though the primary purpose of the conveyance is the production of increased tax revenue and jobs.
The amendment addresses this problem by including in the definition of ``economic development'' conveyances and leases from the condemning government to a private party. In addition, the bill makes some corresponding technical changes to the definition of economic development in light of the other changes I have just explained.
Mr. Chairman, to conclude, this bill is too broad, too unclear, and overreaching. I urge you to adopt this amendment.