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Larkin A, Hoffipan , RNEYS Published by the Government Relations Group SESSION PREVIEW2006 Eminent Domain Legislation EDITOR'S CORNER Out In Front Peter Coyle Julie Perrus Welcome to the 2006 edition of The decision by the U.S. Supreme development purposes. The bill C'apitolWatch! This pre-session Court this summer in Kelo v. City of requires elected officials to make edition kicks off our eleventh year New London solidified the ability of the final decisions regarding the of bringing timely updates on the governmental units to utilize the use of eminent domain during open progress of the Minnesota legislature power of eminent domain, often meetings in order to ensure an to you, our valued clients, friends called a taking, for economic devel- open process and accountability. In and political observers. This year's opment purposes. The Court held addition, it includes a provision legislative session will be different that promoting economic devel- that allows those affected by a from prior years in that it will be opment is a long-accepted taking to recoup attorney's fees in more compressed, commencing government function and that there situations where the government officially on March lsr and ending is no principled way to distinguish has undervalued a home or business it from other public uses that have by more than 20%. on the constitutional adjourn- been recognized by the courts, ment date of May 22, 2006. The including roads, schools and session's compact time frame will utilities. Many argue that the not, however, limit the Fireworks, decision does not herald much due to the fact that in November change for Minnesota, since the The legislation all statewide constitutional offices decision affirms what was already and legislative seats will be facing stated by Minnesota's highest court has a long goad an election. This ongoing experi- in the Walser v. City of Richfield ment with democracy virtually case. Others, however, argue that ensures that some level of partisan while the decisions are similar, the ahead o Zt. . . Kelo case will embolden local brinksmanship will occur, albeit in a authorities to use eminent domain shorter span of time. to take private land and transfer it to other private interests for any This issue of CapitolWatch includes reason. profiles of several issues likely to garner attention by legislators in Representative Jeff Johnson (R, The League of Minnesota Cities, the the coming weeks. Most notable Plymouth) and Senator Tom Bakk Association of Metropolitan among these will be an effort to (DFL, Cook) have agreed to author Municipalities, and other public reign in the government's use of legislation in 2006 that is supported groups are encouraging responsible eminent domain to acquire private by Minnesotans for Eminent Domain changes to the eminent domain property for economic develop- Reform, a coalition of interest statutes in Minnesota. They argue ment purposes. The U.S. Supreme groups that includes the Minnesota that redevelopment and economic Court's decision in Kelo a City of Auto Dealers Association, the development projects are critical to New London ratified Minnesota law Minnesota Farmers Union, the the long-term sustainability of Minneapolis Urban League, former Minnesota cities and that cities use regarding the use of condemnation Congressman Tim Penny and a host eminent domain responsibly. They by governmental bodies, but it has of others. The bill redefines the are concerned that any major limits set off a firestorm in Minnesota terms "public use" and "blight" in on the ability to use eminent domain and across the country. Bipartisan ways that will limit the use of will affect a community's ability to support exists in the state capitol to eminent domain for purely economic a Continued on page 3 __U111 Continued on page 4 ©2006 Larkin Hoffman Daly&Lindgren Ltd.