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CC_Minutes_2006_0717
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7/17/2007 9:39:00 AM
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Roseville City Council
Document Type
Council Minutes
Meeting Date
7/17/2006
Meeting Type
Work Session
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<br />o Compensation for loss of going concern - The burden of proof is on a local governmental to show that a taking of a <br />business will not destroy the business. The standard of proof is "preponderance of evidence" - the House bill had a <br />"clear and convincing" standard. (Section 11) <br /> <br />The following items were in the House bill but were removed in the final conference committee report: <br /> <br />o The U ofM fraternity house provision from Rep. Erhart although this has been adopted as part of a jobs policy bill. <br />o Prohibition on use of eminent domain outside the condemning authority's jurisdiction unless the jurisdiction in which the <br />property is located consents. (Koenen) <br />o Compensation for loss of going concern for garbage haulers. (Thissen) <br />o Information on owners' rights and procedures regarding eminent domain from the AG's office (Marquart). <br /> <br />BILL SUMMARY: Overview: This bill requires that a taking (through the use of eminent domain) may only be used for a <br />public use or public purpose. <br /> <br />Section 2: Definitions: The crux of the bill centers on the definition of "public use and public purpose," which is defmed to <br />mean: <br />(1) The possession, occupation, ownership, and enjoyment of the land by the general public, or by public agencies; <br />(2) The creation or functioning of a public service corporation; or <br />(3) Mitigation of a blighted area, remediation of an environmentally contaminated area, reduction of abandoned property, or <br />removal of a public nuisance. <br /> <br />The public benefits of economic development, including an increase in tax base, tax revenues, employment, or general <br />economic health, do not by themselves constitute a public use or public purpose. <br /> <br />Section 3 :Condemnation for removal of blight and contamination remediation: This allows some uncontaminated or <br />nonblighted land to be taken if there is no feasible alternative and all possible steps are taken to minimize the taking of <br />buildings that are not structurally substandard or uncontaminated parcels are not taken. <br /> <br />Section 4: Attornev fees: This section is described above under the section entitled "some changes in the bill." Also, under if <br />a court determines that a taking is not for a public use, the court shall award attorney fees. <br /> <br />Sections 5 and 6 outline the appraisal and negotiation process - Upon request, the acquiring authority must make available to <br />the owner all appraisals of the property. Also, the owner of a non-residential property is entitled to receive up to $5,000 to <br />pay appraisal costs. Finally, documentation regarding a business loss of going concern must be shared with the opposing <br />party at least 14 days before the hearing. <br /> <br />Section 7: Petition and notice regarding a proposed taking - The notice must state that a party wishing to challenge the <br />public use or public purpose of a taking must appear at the court hearing or must appeal within 60 days of a court order. <br />Additionally, a court order approving the public use or public purpose of a taking is final, unless an appeal is brought within <br />60 days. <br /> <br />Section 8: Evidentiary Standard: -- The Senate position of "preponderance of evidence" was adopted. See above section <br />under" some changes in the bill." <br /> <br />Section 9: Appraisal fees - Maximum allowable appraisal fees for residential property are increased from $500 to $1 ,500- <br />for other types of property, the limit is $5,000. <br /> <br />2 <br />
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