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Jun Z4 2BO5 17:01:46 Via Fax -> Administrator Page 082 Of 88Z LMC -Freda F ax- c;u.ynn.u,Gnu•�w��tiy, A weekly legislative update from the League ofATinnesota Cities June 24, 2005 Page 2 regular legislative session to include these economv. It found that the takings in this case measures in their respective tax bills.With their were part of"a carefully considered prominent presence on the working group, development plan, which was not adopted `to there is no reason to doubt that the proposals benefit a particular class of individuals."' could reemerge. In its decision, the court reasserted that, Since the end of the regular session and during "promoting economic development is a the tax working group negotiations, Sen. traditional and long accepted governmental Pogemiller had held strong to his desire to fully function."The justices also reaffirmed that fund LGA, and he has connected the property local elected officials are in a better position tax freeze to fully funding LGA. Late last than the judiciary to make decisions about what w=eek, Rep. Krinkie indicated his strong desire public needs justify the use of eminent domain. to couple any Senate LGA increase with a property tax freeze. After this morning's vote, While the court recognizes economic Sen. Pogemiller indicated to members of the development as a legitimate public purpose working group these could both come up again when it comes to taking property through for discussion. eminent domain, property rights groups are likely continue the push at the state-level to With less than a week before a partial state restrict local condemnation authority. government shut down, the Tax Working Group plans to meet again Saturday morning. The last two sessions, the Minnesota Auto Stav tuned. Dealers Association has advocated for sweeping changes to Minnesota's eminent Questions? Contact either Jennifer O'Rourke domain statutes. Their legislation calls for two at 651.281.1261 or 'carc�arlce iu.lm.�z.c:.c�r�,or significant changes to state law. First, their bill Gary Carlson at 651.281.1255 or would allow the court to award payment of �7'carisn;' 1m.nc.071,,, property owners' attorney fees in takings for transportation purposes if the final award U.S. Supreme Court reaffirms cities' exceeds the acquiring authority's last offer by authority to take property for 20 percent. It also would require cities to prove by a preponderance of evidence that a taking economic development for redevelopment or economic development is The U.S. Supreme Court issued a ruling on for a primarily public purpose. Thursdav that reaffirms the longstanding power If enacted, this legislation would generate of local governments to take property for expensive litigation, increase the cost of public economic development. projects, and limit cities' use of eminent domain to take property for critical economic In a 5-4 decision, the court upheld the ability of development and redevelopment projects. the City of New London, Connecticut to take property to make way for a riverfront Questions? Contact Laura Offerdahl at development project that would increase tax 651.281.1260 or Ic�i irczalai!i).lmnc;.c�r . revenues, create jobs and improve the local For more information on city legislative issues,contact any member of the League of Minnesota Cities Intergovernmental Relations team. 651.281.1200 or 800.925.1122