HF 81 (LSB 1514YH (1) 89)

HOUSE FILE 81

BY  LOHSE

A BILL FOR

An Act authorizing the reduction of damages payable to an unresponsive property owner in condemnation proceedings and including applicability provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 6B.33, Code 2021, is amended to read as follows:
   6B.33  Costs and attorney fees.
   1.  The acquiring agency shall pay all costs of the assessment made by the commissioners and reasonable attorney fees and costs, including the reasonable cost of one appraisal, incurred by the condemnee as determined by the commissioners if the award of the commissioners exceeds one hundred ten percent of the final offer of the applicant prior to condemnation. The condemnee shall submit an application for fees and costs prior to adjournment of the final meeting of the compensation commission held on the matter. The acquiring agency shall file with the sheriff an affidavit setting forth the most recent offer made to the person whose property is sought to be condemned. Members of such commissions shall receive a per diem of two hundred dollars and actual and necessary expenses incurred in the performance of their official duties. The acquiring agency shall reimburse the county sheriff for the per diem and expense amounts paid by the sheriff to the members. The acquiring agency shall reimburse the owner for the expenses the owner incurred for recording fees, penalty costs for full or partial prepayment of any preexisting recorded mortgage entered into in good faith encumbering the property, and for similar expenses incidental to conveying the property to the acquiring agency. The acquiring agency shall also pay all costs occasioned by the appeal, including reasonable attorney fees and the reasonable cost incurred by the property owner for one appraisal to be taxed by the court, unless on the trial thereof the same or a lesser amount of damages is awarded than was allowed by the tribunal from which the appeal was taken.
   2.  If the acquiring agency satisfies the requirements of section 6B.57 relating to providing the notices and documents required under this chapter, and the property owner fails to timely respond to all, but not less than two, such notices, documents, or other correspondence from the acquiring agency, the district court, or the compensation commission for which a response is required, the amount of damages awarded to the property owner shall be reduced by an amount equal to the additional actual costs incurred and additional reasonable attorney fees paid by the acquiring agency as a result of the property owner’s failure to timely respond. The consequence for failing to timely respond to notices and documents as provided in this subsection shall be clearly stated on each notice or document for which a response from the property owner is required.
    Sec. 2.  APPLICABILITY.  This Act applies to condemnation proceedings for which the application filed under section 6B.3 is filed on or after July 1, 2021.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill provides that if an acquiring agency in a condemnation proceeding satisfies the requirements of Code section 6B.57 relating to providing the notices and documents required under Code chapter 6B, and the property owner fails to timely respond to all, but not less than two, such notices, documents, or other correspondence from the acquiring agency, the district court, or the compensation commission for which a response is required, the amount of damages awarded to the property owner shall be reduced by an amount equal to the additional actual costs incurred and additional reasonable attorney fees paid by the acquiring agency relating to the condemnation proceedings.
   The consequence for failing to timely respond to notices and documents must be clearly stated on each notice or document for which a response from the property owner is required.
   The bill applies to condemnation proceedings for which the application is filed on or after July 1, 2021.