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Wednesday, July 6, 2005

Curbing eminent domain

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For an object lesson in the virtues of federalism, consider the wave of efforts at the state and local level as well as in Congress to curb eminent-domain abuses in the wake of the Supreme Court's decision in Kelo v. New London. Governors, legislators and citizens from California to New Hampshire are moving to counteract the collusion of government and business that could easily result from Kelo. We hope this prompts a tightening of state and federal laws to prevent confiscatory, revenue-driven uses of eminent domain.

In Connecticut, state legislators are pushing a bill to bar the use of eminent domain for economic development, and more than 300 protesters converged on New London's city hall to decry the Kelo ruling. In California, a city councilman in Encinitas proposes that any transfer of private property to other private owners must pass a two-thirds vote in a regular election. In Florida, a spokesman for Gov. Jeb Bush says the governor "does not think an appropriate use [of eminent domain] is for building condos to generate more taxes for a city." At the grass-roots, the most amusing development is a push by a citizens' group to seize the Weare, N. H., home of Supreme Court Justice David H. Souter, author of the Kelo opinion, for a "development" project to be called the "Lost Liberty Hotel." The hotel would include a museum on "the loss of freedom in America." A spokesman insists "this is not a prank." Perhaps not.

Efforts are afoot in Washington, too. In the House, an unlikely coalition of Democrats and Republicans seeks to use the power of the purse to discourage New London-style takings. By a 231-189 vote, the House approved legislation that would deny federal funds from the Departments of Transportation, Treasury and Housing and Urban Development to local or state governments using eminent-domain to force the sale of property for a for-profit enterprise. Sponsored by Rep. F. James Sensenbrenner of Wisconsin, the Republican chairman of the Judiciary Committee, its cosponsors include some of the bluest of blue-state Democratic liberals, such as Rep. Maxine Waters of California and John Conyers Jr. of Michigan. House Majority Leader Tom DeLay of Texas and Majority Whip Roy Blunt of Missouri promise a similar measure to include all federal funding. Mr. DeLay calls the Kelo decision "horrible" and vows that Congress will checkmate the judiciary. In the Senate, John Cornyn, Texas Republican, introduced a measure to curb eminent-domain abuse with Bill Nelson of Florida, a Democrat, and Rick Santorum of Pennsylvania, a Republican, as cosponsors. Sen. Orrin Hatch, Utah Republican, promises help.

These efforts to recalibrate eminent-domain law come not a moment too soon. A 2003 study by the Institute for Justice's Castle Coalition, a private-property group pushing correctives to Kelo, found more than 10,000 uses or threats of use of eminent-domain for private parties in the five-year period ending Dec. 31, 2002. Eminent-domain abuse is widespread. It must be stopped.

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