Real Estate & Property Law

Common Sense Reform in South Dakota

By Alan Ackerman

The editorial below raises an interesting issue. At what point in the planning process can an agency initiate condemnation proceedings? How many permits or approvals must a company like TransCanada obtain for its Keystone XL interstate oil pipeline before it can begin land acquisition? If agencies initiate condemnation early in the permitting process, the damage to property owners is more extensive. Even if a company has obtained a majority of permits and government approvals, the remainder may take years, while the threat of condemnation looms over owners and the value of their property potentially decreases.

Bill 1177 would require approval of all permits prior to the exercise of eminent domain. This common sense proposal would protect property owners from becoming embroiled in the protracted permitting process.

The Argus Leader

Several state legislators are supporting a bill to require private companies to acquire all of their permits before condemning land. Though portions of the bill should be tweaked, the legislation has lots of merit.

Because projects such as Keystone XL require a host of permits, forcing a company to gain every one before seeking to condemn land might be unreasonable. But companies definitely should be required to secure a good share of key permits first.

We support the idea of this legislation and encourage the bill's sponsors to find reasonable adjustments in order to be fair to private companies and landowners alike.
 

Full post as published by National Eminent Domain Blog on February 04, 2011 (boomark / email).