Bill Text: NY A05673 | 2021-2022 | General Assembly | Introduced


Bill Title: Provides for eminent domain reform; creates the "home and property protection act"; creates a temporary state commission to examine eminent domain laws.

Spectrum: Partisan Bill (Republican 11-0)

Status: (Introduced - Dead) 2022-01-05 - referred to judiciary [A05673 Detail]

Download: New_York-2021-A05673-Introduced.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                          5673

                               2021-2022 Regular Sessions

                   IN ASSEMBLY

                                    February 22, 2021
                                       ___________

        Introduced  by  M.  of  A.  FITZPATRICK, BYRNES, DiPIETRO, J. M. GIGLIO,
          MIKULIN, SALKA, TAGUE -- Multi-Sponsored  by  --  M.  of  A.  BARCLAY,
          HAWLEY,  MANKTELOW, McDONOUGH -- read once and referred to the Commit-
          tee on Judiciary

        AN ACT to amend the eminent domain  procedure  law,  the  not-for-profit
          corporation  law, the general municipal law and the public authorities
          law, in relation to eminent domain  reform;  creating  the  "home  and
          property  protection  act"  providing  for the creation of a temporary
          state commission to examine eminent domain laws and  make  recommenda-
          tions  for  further  reforms;  making  an  appropriation therefor; and
          providing for the repeal of certain provisions upon expiration thereof

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.  Short  title. This act shall be known and may be cited as
     2  the "home and property protection act".
     3    § 2. Section 103 of the eminent domain procedure  law  is  amended  by
     4  adding three new subdivisions (H), (I) and (J) to read as follows:
     5    (H)  "Economic development project" means any project for which acqui-
     6  sition of real property may be required for a public  use,  benefit,  or
     7  purpose  where  such  public  use,  benefit, or purpose is primarily for
     8  economic development and where the condemnee's real property is  a  home
     9  or dwelling.
    10    (I) For the purposes of article two of this chapter:
    11    (1) "Home" means owner-occupied residential premises consisting of not
    12  more than six dwelling units.
    13    (2)  "Dwelling" means residential premises consisting of not more than
    14  thirty dwelling units, none of which is occupied by  an  owner  of  such
    15  premises.
    16    (3)  In  the case of cooperative apartment corporations, title to that
    17  portion of real property owned by a cooperative apartment corporation in
    18  which a tenant-stockholder of such corporation  resides,  and  which  is

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD08132-01-1

        A. 5673                             2

     1  represented  by  his or her share or shares of stock in such corporation
     2  as determined by its or their proportional  relationship  to  the  total
     3  outstanding stock of the corporation, including that owned by the corpo-
     4  ration, shall be deemed to be vested in such tenant-stockholder notwith-
     5  standing the number of dwelling units in such residential premises, thus
     6  qualifying a cooperative apartment as a home.
     7    (J)  "Blighted area" means an area in which one or both of the follow-
     8  ing conditions exist: (i) a predominance  of  buildings  and  structures
     9  which  are deteriorated or unfit or unsafe for use or occupancy; or (ii)
    10  a predominance of economically unproductive lands, buildings  or  struc-
    11  tures,  the  redevelopment of which is needed to prevent further deteri-
    12  oration which would jeopardize the economic well-being of the people.
    13    § 3. Subdivision (B) of section 204 of the  eminent  domain  procedure
    14  law is amended to read as follows:
    15    (B)  The  condemnor, in its determination and findings, shall specify,
    16  but shall not be limited to the following:
    17    (1) the public use, benefit or purpose to be served  by  the  proposed
    18  public project;
    19    (2)  the  approximate location for the proposed public project and the
    20  reasons for the selection of that location;
    21    (3) the general effect of the proposed project on the environment  and
    22  residents of the locality;
    23    (4)  a  declaration  to  such  effect if the primary public purpose is
    24  determined to be for economic development where one or more  condemnees'
    25  homes or dwellings are to be affected; and
    26    (5) such other factors as it considers relevant.
    27    §  4.  The  eminent  domain  procedure  law is amended by adding a new
    28  section 204-a to read as follows:
    29    § 204-a. Economic  development  condemnation  findings  and  homeowner
    30  protection.   (A) If the condemnor determines pursuant to paragraph four
    31  of subdivision (B) of section two hundred four of this article that  the
    32  primary  public  purpose  or  benefit  is  for economic development, the
    33  condemnor, in cooperation with the government of the locality  in  which
    34  the  real  property to be acquired is located shall prepare a comprehen-
    35  sive economic development plan for the affected area. The  comprehensive
    36  economic  development  plan  shall  include,  but not be limited to, the
    37  actual or expected benefits  of  the  project,  including  the  expected
    38  increased  tax  revenue or expected creation of jobs, the types of busi-
    39  nesses or industry that will use the condemned  property,  and  alterna-
    40  tives  to the plan. When a draft comprehensive economic development plan
    41  is created, the condemnor, in cooperation with  the  government  of  the
    42  locality in which the real property to be acquired is located shall hold
    43  at  least  one  public hearing to compile and analyze public input.  The
    44  public hearing shall be held in accordance with the provisions  of  this
    45  article  at  a  location reasonably proximate to the real property which
    46  may be acquired  for  such  project.  Thereafter,  the  condemnor  shall
    47  complete a final comprehensive economic development plan to be submitted
    48  to  the local legislative body, subject to any applicable right to over-
    49  ride for its approval. To move  forward  with  the  project,  the  local
    50  legislative  body  must approve the plan by a majority vote, and it must
    51  also be approved by the chief executive officer of such locality if  the
    52  office of such chief executive officer is elective.
    53    Notwithstanding  any section of law to the contrary, the provisions of
    54  subdivision (A) of this section shall not  apply  to  a  public  project
    55  where  the primary public purpose or benefit is for economic development

        A. 5673                             3

     1  if the area is a "blighted area" as defined  under  subdivision  (J)  of
     2  section one hundred three of this chapter.
     3    (B)  The  condemnor  shall  also  create a homeowner impact assessment
     4  statement. The condemnor, in the homeowner impact assessment  statement,
     5  shall  assess  the  actual  harm  to affected condemnees that would lose
     6  their homes or dwellings and  compare  such  harm  with  the  reasonably
     7  expected  community  benefits,  including  but  not  limited  to how the
     8  condemnor justifies the taking of the condemnees'  homes  or  dwellings.
     9  The  homeowner impact assessment statement shall be completed simultane-
    10  ously with the comprehensive economic development plan under subdivision
    11  (A) of this section. The homeowner impact assessment statement shall  be
    12  made widely available.
    13    (C)  In  cases where a condemnee's home or dwelling is acquired for an
    14  economic development project, the condemnor shall, in addition to  other
    15  compensation requirements under this article, compensate the condemnee a
    16  minimum  of  one  hundred  fifty percent of the fair market value of the
    17  real property. Residents who are displaced by the  economic  development
    18  project  shall also be compensated at least one hundred fifty percent of
    19  the annual rent of such dwelling.
    20    § 5. Subdivision (A) of section 207 of the  eminent  domain  procedure
    21  law,  as  amended by chapter 356 of the laws of 1982, is amended to read
    22  as follows:
    23    (A) Any person or persons  jointly  or  severally,  aggrieved  by  the
    24  condemnor's  determination  and  findings  made  pursuant to section two
    25  hundred four of this article, may seek judicial review  thereof  by  the
    26  appellate  division  of  the  supreme  court, in the judicial department
    27  embracing the county wherein the proposed facility  is  located  by  the
    28  filing of a petition in such court within [thirty] ninety days after the
    29  condemnor's completion of its publication of its determination and find-
    30  ings pursuant to section two hundred four [herein] of this article. Such
    31  petition  shall  be  accompanied  by proof of service of a demand on the
    32  condemnor to file with said court a copy of a written transcript of  the
    33  record  of the proceeding before it, and a copy of its determination and
    34  findings. Upon receipt of such petition and demand, the condemnor  shall
    35  forthwith  deliver  to  the court a copy of the record and a copy of its
    36  determination and findings. The proceeding shall be heard on the  record
    37  without requirement of reproduction. If such proposed public improvement
    38  is  located  in more than one judicial department such proceeding may be
    39  brought in any one, but only  one  of  such  departments  and  all  such
    40  proceedings  with relation to any single public project shall be consol-
    41  idated with that first filed. If the condemnor substantially alters  the
    42  scope of the project or the determination and findings, then the condem-
    43  nee  shall  have an additional ninety days from the condemnor's publica-
    44  tion of such alteration, which publication is hereby required,  to  seek
    45  judicial review under this section.
    46    §  6. Section 1411 of the not-for-profit corporation law is amended by
    47  adding a new paragraph (j) to read as follows:
    48    (j) The local legislative body of each city, town, or village in which
    49  any part of the real property to be acquired is located shall  have  the
    50  authority  to  approve  or  disapprove  any corporation's use of eminent
    51  domain. Each such local legislative body shall approve or disapprove any
    52  proposed corporate use of the power of eminent domain by majority  vote.
    53  Where  applicable  in  the  enactment of local laws, the chief executive
    54  officer of such locality if the office of such chief  executive  officer
    55  is  elective shall approve or disapprove such governing body's decision,
    56  subject to any applicable right to override.

        A. 5673                             4

     1    § 7. The general municipal law is amended  by  adding  a  new  section
     2  858-c to read as follows:
     3    §  858-c.  Municipal  input. The governing body of each city, town, or
     4  village for whose benefit, in whole or in part, an agency is established
     5  shall have the authority to approve or  disapprove  any  agency  use  of
     6  eminent domain. Each such governing body shall approve or disapprove the
     7  use  of  eminent domain by majority vote. Where applicable in the enact-
     8  ment of local laws, the chief executive officer of such locality if  the
     9  office  of  such  chief  executive  officer is elective shall approve or
    10  disapprove such governing body's decision,  subject  to  any  applicable
    11  right to override.
    12    §  8.  The  public  authorities law is amended by adding a new section
    13  1831-b to read as follows:
    14    § 1831-b. Exercise of power of eminent domain; limitations. The  local
    15  legislative  body  of each city, town, or village in which the authority
    16  seeks to exercise the power of eminent domain shall have  the  authority
    17  to  approve  or  disapprove any exercise of such power by the authority.
    18  Every such local legislative body shall approve or disapprove any  exer-
    19  cise  of  such power by majority vote. Where applicable in the enactment
    20  of local laws, the chief executive  officer  of  such  locality  if  the
    21  office  of  such  chief  executive  officer is elective shall approve or
    22  disapprove such local legislative body's decision, subject to any appli-
    23  cable right to override.
    24    § 9. A temporary commission on eminent domain reform is hereby created
    25  to examine, evaluate, and make recommendations concerning the scope  and
    26  effectiveness of the eminent domain procedure law.
    27    1.  Legislative  findings and intent. The legislature hereby finds and
    28  declares that eminent domain is an important tool for government to move
    29  forward on important public projects. However, there needs to be a thor-
    30  ough examination to determine how public  projects  that  are  primarily
    31  economic  development  projects  affect  homeowners. There needs to be a
    32  balance between the needs of society and  the  constitutional  power  of
    33  government to exercise its eminent domain powers, and the constitutional
    34  liberty and property rights of the people.
    35    2.  A  temporary  state  commission,  to be known as the commission on
    36  eminent domain reform, hereinafter referred to  as  the  commission,  is
    37  hereby created to examine, evaluate, and make recommendations concerning
    38  the  scope and effectiveness of the eminent domain procedure law and the
    39  legislature's grant to certain public and other entities to exercise the
    40  power of eminent domain. Specifically the commission  shall  examine  at
    41  least the following:
    42    (a)   the   appropriate   constitutional   standard  for  condemnation
    43  proceedings used for the economic development where  private  homeowners
    44  are affected; and
    45    (b) the procedural fairness of the eminent domain procedure laws.
    46    3.  The  commission shall consist of thirteen members, to be appointed
    47  as follows: three members to be appointed by the governor; three members
    48  to be appointed by the temporary president of the senate; three  members
    49  to  be  appointed  by  the  speaker  of  the  assembly; one member to be
    50  appointed by the minority  leader  of  the  senate;  one  member  to  be
    51  appointed  by  the  minority leader of the assembly; one member shall be
    52  appointed by the comptroller, and one member shall be appointed  by  the
    53  attorney  general.   The appointees shall have demonstrated expertise in
    54  the field of eminent domain law. The governor shall designate the chair-
    55  person and vice-chairperson of the commission. Vacancies in the  member-

        A. 5673                             5

     1  ship  of  the  commission  and among its officers shall be filled in the
     2  manner provided for original appointments or designations.
     3    4.  The  members  of  the commission shall receive no compensation for
     4  their services, but shall be allowed their actual and necessary expenses
     5  incurred in the performance of their duties hereunder.  To  the  maximum
     6  extent feasible, the commission shall be entitled to request and receive
     7  and  shall  utilize and be provided with such facilities, resources, and
     8  data of any court, department, division, board, bureau,  commission,  or
     9  agency  of  the  state  or any political subdivision thereof as it deems
    10  necessary or desirable to carry out properly its powers and duties here-
    11  under.
    12    5. The commission may employ and at pleasure remove such personnel  as
    13  it may deem necessary for the performance of its functions and fix their
    14  compensation within the amounts made available therefor.
    15    6.  The  commission  may meet within and without the state, shall hold
    16  public hearings, and shall have all the powers of a legislative  commit-
    17  tee pursuant to the legislative law.
    18    7.  The  commission shall submit its findings and recommendations in a
    19  report to the governor, the temporary president of the senate,  and  the
    20  speaker of the assembly not later than one year after it first convenes.
    21    §  10.  The sum of one hundred thousand dollars ($100,000), or so much
    22  thereof as may be necessary, is hereby appropriated to pay the  expenses
    23  incurred,  including personal service, in carrying out the provisions of
    24  section nine of this act. Such moneys shall be payable out of the  state
    25  treasury in the general fund to the credit of the state purposes account
    26  after  audit  by  and  on  the  warrant of the comptroller upon vouchers
    27  certified or approved by the  chairperson  or  vice-chairperson  of  the
    28  commission as prescribed by law.
    29    §  11.  This  act  shall  take effect on the one hundred twentieth day
    30  after it shall have become a law; provided that sections nine and ten of
    31  this act shall take effect immediately; provided  further  that  section
    32  nine  of  this  act shall expire and be deemed repealed on the first day
    33  next succeeding the date of the submission of the report as provided  in
    34  subdivision  seven  of  such section; and provided further, however that
    35  the chairperson of the temporary commission  on  eminent  domain  reform
    36  shall   notify   the  legislative  bill  drafting  commission  upon  the
    37  submission of its report as provided for in subdivision seven of section
    38  nine of this act in order that the commission may maintain  an  accurate
    39  and  timely  effective data base of the official text of the laws of the
    40  state of New York in furtherance of effecting the provisions of  section
    41  44 of the legislative law and section 70-b of the public officers law.
feedback