Originally Posted - September 27, 2005


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Nelson-Cornyn Bill Blocks Federal Funds For Eminent Domain

MIAMI--Florida Democrat Sen. Bill Nelson, vowing to deny federal funds to any city or state project that uses eminent domain for private gain, is co-sponsoring a bill in the U.S. Senate with Republican Sen. John Cornyn of Texas that would reserve eminent domain only for public use projects.

Cornyn, a member of the Senate Judiciary Committee, testified at a committee hearing last week regarding his legislation to protect property rights. The Judiciary Committee hearing was titled "The Kelo Decision: Investigating Takings of Homes and other Private Property."

A former Texas Supreme Court justice, Cornyn is the author of The Protection of Homes, Small Businesses, and Private Property Act of 2005 (S. 1313). The bipartisan Cornyn legislation, which has 28 cosponsors, would clarify government's exercise of eminent domain to be limited only for public use. Also testifying at the hearing was Susette Kelo, the lead plaintiff in the landmark Kelo v. New London property rights case in Connecticut.

If it is passed, the Protection of Homes, Small Businesses and Private Property Act of 2005 would prohibit the federal government from taking private property for economic development and prevent the use of federal funds by local government for any project in which they are using eminent domain for private gain.

"I firmly believe that legislative action is appropriate and necessary," Cornyn said at the hearing. "And I am not alone in this belief. Several state legislatures took immediate action. Indeed, Texas passed legislation that was signed into law by the Governor just a few weeks ago that protects property from seizure for purposes of economic development."

Cornyn noted that more than 10,000 properties that have been either seized or threatened with condemnation for private development in the five-year period between 1998 and 2002. While many abuses were already occurring, he said, since the Kelo decision, local governments have become further emboldened to take property for private development.

"What I find troubling is that Kelo is just one of many examples of the abuse of the eminent domain power throughout our nation. Its use for private development is widespread," Cornyn said. "Despite the fact that so many abuses were already occurring, since the Kelo decision, local governments have become further emboldened to take property for private development."

The Senate measure was introduced in late June following the U.S. Supreme Court's ruling in the Kelo case when they voted 5-4 in favor of the City of New London, saying that the power of eminent domain could be used for private economic development. However, the decision left room for the states to create their own legislation to deal with the issue.

A similar bill was approved by the House in July.

Homeowners in New London including Suzanne Kelo were targeted for taking by government for commercial development.

The Florida legislature is currently considering new legislation to deal with the matter.

Nelson, who is up for reelection next year, conducted a news conference Monday at the Miami law offices of Brigham Moore, a law firm representing a family in Hollywood, Fla., who expect the city of Hollywood to take their property by eminent domain for a 19-story condominium by a developer. If successful, the historic Great Southern Hotel of the 1920s will also be demolished to make way for the project.

As of yet, there are no federal funds involved in the Hollywood project. 9-28-05

 
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