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WASHINGTON---The House considered legislation this week that would withhold federal funds from state and local governments that use powers of eminent domain to force homeowners to give up their property for commercial use.
In June, in a 5-4 ruling in Kelo v. City of New London , the Supreme Court held that local governments could seize property needed for private development projects for the public good. The decision allowed the City of New London, Conn., to utilize eminent domain law to force homeowners to yield their property to private developers.
Congressman Henry Bonilla (R-Texas) is a chief sponsor of the bill.
"It doesn't matter where you live - city, farm or suburbia - eminent domain abuses know no boundaries. I've heard from people living in downtown neighborhoods who fear the loss of their home; their fear is shared by folks in rural America whose farm land is threatened. Something must be done to stop these abuses," said Bonilla.
Bonilla authored and introduced the bi-partisan legislation in July of 2005. The Strengthening the Ownership of Private Property (STOPP) Act, HR 3405, will prevent governments from taking property from one private party and giving it to another private party. When abuses occur, the STOPP Act will prevent localities and states from receiving federal economic assistance on ALL economic development projects, not just those projects upon which abuses occur. Furthermore, the legislation will make state and local governments subject to the Uniform Relocation Act, which provides fair market value and moving expenses for citizens relocated by abuses.
"The most important difference between my legislation and others offered is that we are penalizing ALL economic development projects, not just those upon which abuses occur. By subjecting all projects to penalties, we are removing a loophole that localities can exploit by playing a funding 'shell game' with projects," said Bonilla.
The bill appears to be headed towards easy passage with bipartisan support.
Changes to state laws that would prevent takings by eminent domain are also underway in about half of the states. 11-05-05
© 2005 North
Country Gazette
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