House File 603 - Reprinted HOUSE FILE 603 BY COMMITTEE ON JUDICIARY (SUCCESSOR TO HF 64) (As Amended and Passed by the House March 22, 2011 ) A BILL FOR An Act relating to eminent domain authority and procedures and 1 including effective date and applicability provisions. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 HF 603 (8) 84 md/sc/mb
H.F. 603 Section 1. NEW SECTION . 6A.15 Property on state historic 1 registry. 2 1. Property listed on the state register of historic places 3 maintained by the historical division of the department of 4 cultural affairs shall not be removed from the register solely 5 for the purpose of allowing acquisition of the property by 6 condemnation, unless such condemnation is undertaken by the 7 department of transportation. 8 2. Property listed on the state register of historic places 9 maintained by the historical division of the department of 10 cultural affairs shall not be condemned by the state or a 11 political subdivision unless a joint resolution authorizing 12 commencement of the condemnation proceedings is approved by a 13 vote of at least two-thirds of the members of both chambers of 14 the general assembly and signed by the governor. The approval 15 requirements of this subsection shall not apply to condemnation 16 undertaken by the department of transportation. 17 Sec. 2. Section 6A.19, Code 2011, is amended to read as 18 follows: 19 6A.19 Interpretative clause. 20 A grant in this chapter of right to take private property 21 for a public use shall not be construed as limiting a like 22 grant elsewhere in the Code for another and different use. 23 Unless specifically provided by law, this chapter shall not 24 be construed to limit or otherwise affect the application of 25 chapters 478 and 479 to the eminent domain authority of the 26 utilities division of the department of commerce. 27 Sec. 3. Section 6A.22, subsection 2, paragraph c, 28 subparagraph (1), Code 2011, is amended to read as follows: 29 (1) (a) If private property is to be condemned for 30 development or creation of a lake, only that number of acres 31 justified as reasonable and necessary for a surface drinking 32 water source, and not otherwise acquired, may be condemned. 33 In addition, the acquiring agency shall conduct a review of 34 prudent and feasible alternatives to provision of a drinking 35 -1- HF 603 (8) 84 md/sc/mb 1/ 7
H.F. 603 water source prior to making a determination that such 1 lake development or creation is reasonable and necessary. 2 Development or creation of a lake as a surface drinking water 3 source includes all of the following: 4 (i) Construction of the dam, including sites for suitable 5 borrow material and the auxiliary spillway. 6 (ii) The water supply pool. 7 (iii) The sediment pool. 8 (iv) The flood control pool. 9 (v) The floodwater retarding pool. 10 (vi) The surrounding area upstream of the dam no higher in 11 elevation than the top of the dam’s elevation. 12 (vii) The appropriate setback distance required by state or 13 federal laws and regulations to protect drinking water supply. 14 (b) For purposes of this subparagraph (1), “number of acres 15 justified as reasonable and necessary for a surface drinking 16 water source” means according to guidelines of the United 17 States natural resource conservation service and according to 18 analyses of surface drinking water capacity needs conducted by 19 one or more registered professional engineers. The registered 20 professional engineers may, if appropriate, employ standards 21 or guidelines other than the guidelines of the United States 22 natural resource conservation service when determining the 23 number of acres justified as reasonable and necessary for 24 a surface drinking water source. The data and information 25 used by the registered professional engineers shall include 26 data and information relating to population and commercial 27 enterprise activity for the area from the two most recent 28 federal decennial censuses unless the district court of the 29 county in which the property is situated has determined by 30 a preponderance of the evidence that such data would not 31 accurately predict the population and commercial enterprise 32 activity of the area in the future. 33 (c) A second review or analysis of the drinking water 34 capacity needs shall be performed upon receipt by the acquiring 35 -2- HF 603 (8) 84 md/sc/mb 2/ 7
H.F. 603 agency of a petition signed by not less than twenty-five 1 percent of the affected property owners. The registered 2 professional engineer to perform the second review or analysis 3 shall be selected by a committee appointed by the affected 4 property owners and comprised of at least fifty percent 5 property owners affected by the proposed condemnation action. 6 The acquiring agency shall be responsible for paying the fees 7 and expenses of such an engineer. 8 (d) If private property is to be condemned for development 9 or creation of a lake, the plans, analyses, applications, 10 including any application for funding, and other planning 11 activities of the acquiring agency shall not include or provide 12 for the use of the lake for recreational purposes. 13 Sec. 4. Section 6A.24, subsection 3, Code 2011, is amended 14 to read as follows: 15 3. a. (1) For Except as provided in subparagraph (2), for any 16 action brought under this section, the burden of proof shall 17 be on the acquiring agency to prove by a preponderance of the 18 clear and convincing evidence that the finding of public use, 19 public purpose, or public improvement meets the definition of 20 those terms. 21 a. For any action brought under this section relating to 22 condemnation undertaken by the department of transportation, 23 the burden of proof shall be on the department to prove by a 24 preponderance of the evidence that the finding of public use, 25 public purpose, or public improvement meets the definition of 26 those terms. 27 b. If a property owner or a contract purchaser of record 28 or a tenant occupying the property under a recorded lease 29 prevails in an action brought under this section , the acquiring 30 agency shall be required to pay the costs, including reasonable 31 attorney fees, of the adverse party. 32 Sec. 5. Section 6B.54, subsection 10, paragraph a, Code 33 2011, is amended by adding the following new subparagraph: 34 NEW SUBPARAGRAPH . (3) Reasonable attorney fees and 35 -3- HF 603 (8) 84 md/sc/mb 3/ 7
H.F. 603 reasonable costs not to exceed one hundred thousand dollars, 1 attributable to a determination that the creation of a lake 2 through condemnation includes a future recreational use or that 3 a violation of section 6A.22, subsection 2, paragraph “c” , 4 subparagraph (1), subparagraph division (d), has occurred, if 5 such fees and costs are not otherwise provided under section 6 6B.33. 7 Sec. 6. NEW SECTION . 6B.56B Disposition of condemned 8 property —— two-year time period. 9 1. When two years have elapsed since property was condemned 10 for the creation of a lake according to the requirements of 11 section 6A.22, subsection 2, paragraph “c” , subparagraph (1), 12 and the property has not been used for or construction has 13 not progressed substantially from the date the property was 14 condemned for the purpose stated in the application filed 15 pursuant to section 6B.3, and the acquiring agency has not 16 taken action to dispose of the property pursuant to section 17 6B.56, the acquiring agency shall, within sixty days, adopt a 18 resolution offering the property for sale to the prior owner 19 at a price as provided in section 6B.56. If the resolution 20 adopted approves an offer of sale to the prior owner, the offer 21 shall be made in writing and mailed by certified mail to the 22 prior owner. The prior owner has one hundred eighty days after 23 the offer is mailed to purchase the property from the acquiring 24 agency. 25 2. If the acquiring agency has not adopted a resolution 26 described in subsection 1 within the sixty-day time period, the 27 prior owner may, in writing, petition the acquiring agency to 28 offer the property for sale to the prior owner at a price as 29 provided in section 6B.56. Within sixty days after receipt of 30 such a petition, the acquiring agency shall adopt a resolution 31 described in subsection 1. If the acquiring agency does not 32 adopt such a resolution within sixty days after receipt of the 33 petition, the acquiring agency is deemed to have offered the 34 property for sale to the prior owner. 35 -4- HF 603 (8) 84 md/sc/mb 4/ 7
H.F. 603 3. The acquiring agency shall give written notice to the 1 owner of the right to purchase the property under this section 2 at the time damages are paid to the owner. 3 Sec. 7. Section 364.4, subsection 1, paragraph a, 4 unnumbered paragraph 1, Code 2011, is amended to read as 5 follows: 6 Acquire, hold, and dispose of property outside the city in 7 the same manner as within. However, the power of a city to 8 acquire property outside the city does not include the power 9 to acquire property outside the city by eminent domain, except 10 if viable alternatives do not exist within the city and the 11 acquisition of the property is necessary for the following, 12 subject to the provisions of chapters 6A and 6B : 13 Sec. 8. Section 403.7, subsection 1, unnumbered paragraph 14 1, Code 2011, is amended to read as follows: 15 A municipality shall have the right to acquire by 16 condemnation any interest in real property, including a fee 17 simple title thereto, which it may deem necessary for or in 18 connection with an urban renewal project under this chapter , 19 subject to the limitations on eminent domain authority 20 in chapter chapters 6A and 6B . However, a municipality 21 shall not condemn agricultural land included within an 22 economic development area for any use unless the owner of 23 the agricultural land consents to condemnation or unless the 24 municipality determines that the land is necessary or useful 25 viable alternatives to the condemnation of agricultural land do 26 not exist and the acquisition of the property is necessary for 27 any of the following: 28 Sec. 9. NEW SECTION . 423B.11 Use of revenues —— limitation. 29 The revenue raised by a local sales and services tax imposed 30 under this chapter by a county shall not be expended for any 31 purpose related to a project that includes the condemnation of 32 private property for the creation of a lake according to the 33 requirements of section 6A.22, subsection 2, paragraph “c” , 34 subparagraph (1), if the local sales and services tax has not 35 -5- HF 603 (8) 84 md/sc/mb 5/ 7
H.F. 603 been approved at election in the area where the property to be 1 condemned is located. 2 Sec. 10. Section 455A.5, Code 2011, is amended by adding the 3 following new subsection: 4 NEW SUBSECTION . 7. The authority granted to the commission 5 to acquire real property for purposes of carrying out a 6 duty related to development or maintenance of the recreation 7 resources of the state, including planning, acquisition, and 8 development of recreational projects, and areas and facilities 9 related to such projects, shall not include the authority to 10 acquire real property by eminent domain. 11 Sec. 11. Section 456A.24, subsection 2, unnumbered 12 paragraph 1, Code 2011, is amended to read as follows: 13 Acquire by purchase, condemnation, lease, agreement, 14 gift, and devise lands or waters suitable for the purposes 15 hereinafter enumerated, and rights-of-way thereto, and to 16 maintain the same for the following purposes , to wit : 17 Sec. 12. Section 456A.24, Code 2011, is amended by adding 18 the following new subsection: 19 NEW SUBSECTION . 15. The authority granted the department 20 to acquire real property for any statutory purpose relating to 21 the development or maintenance of the recreation resources of 22 the state, including planning, acquisition, and development 23 of recreational projects, and areas and facilities related to 24 such projects, shall not include the authority to acquire real 25 property by eminent domain. 26 Sec. 13. Section 461A.7, Code 2011, is amended to read as 27 follows: 28 461A.7 Eminent domain Purchase of lands —— public parks . 29 The commission may purchase or condemn lands from willing 30 sellers for public parks. No A contract for the purchase of 31 such public parks shall not be made to an amount in excess of 32 funds appropriated therefor by the general assembly. 33 Sec. 14. Section 461A.10, Code 2011, is amended to read as 34 follows: 35 -6- HF 603 (8) 84 md/sc/mb 6/ 7
H.F. 603 461A.10 Title to lands. 1 The title to all lands purchased, condemned, or donated , 2 hereunder, for park or highway purposes and the title to all 3 lands purchased, condemned, or donated hereunder for highway 4 purposes , shall be taken in the name of the state and if 5 thereafter it shall be deemed advisable to sell any portion of 6 the land so purchased or condemned, the proceeds of such sale 7 shall be placed to the credit of the said public state parks 8 fund to be used for such park purposes. 9 Sec. 15. Section 463C.8, subsection 1, paragraph k, Code 10 2011, is amended to read as follows: 11 k. The power to acquire, own, hold, administer, and dispose 12 of property , except that such power is not a grant of authority 13 to acquire property by eminent domain . 14 Sec. 16. REPEAL. Sections 461A.9 and 461A.75, Code 2011, 15 are repealed. 16 Sec. 17. EFFECTIVE UPON ENACTMENT AND APPLICABILITY. This 17 Act, being deemed of immediate importance, takes effect upon 18 enactment and applies to projects or condemnation proceedings 19 pending or commenced on or after that date. 20 -7- HF 603 (8) 84 md/sc/mb 7/ 7