LRB-0275/2
PG:wlj:ph
2011 - 2012 LEGISLATURE
April 28, 2011 - Introduced by Senators Lazich, Zipperer, Moulton, Kapanke and
Schultz, cosponsored by Representatives Williams, Wynn, Steineke, Rivard,
Bies and T. Larson. Referred to Committee on Judiciary, Utilities, Commerce,
and Government Operations.
SB83,1,8
1An Act to repeal 32.07 (2), 32.22, 32.51 (1) (a) to (g) and 66.1201 (10) (b) to (g);
2to renumber and amend 32.07 (4) and 32.51 (1) (intro.);
to amend 32.03 (6)
3(a) (intro.), 32.06 (intro.), 32.06 (5), 32.07 (3), 32.71, 66.1201 (10) (a), 66.1311 (3),
466.1313 (1), 66.1327 (1), 66.1331 (2), 66.1331 (4) (b), 66.1331 (15), 66.1333 (3)
5(f), 66.1333 (5) (b) 1., 66.1333 (5) (c) 1r., 66.1333 (17) and 66.1337 (5);
to repeal
6and recreate 66.1331 (3) (a), 66.1333 (2m) (b) and 66.1333 (2m) (bm); and
to
7create 32.015 and 32.03 (6) (c) 5. to 7. of the statutes;
relating to: various
8changes to the eminent domain laws.
Analysis by the Legislative Reference Bureau
This bill makes a number of changes to the laws governing condemnation in
general, and to the laws governing the condemnation of blighted property in
particular, including the following:
1. Under current law, an entity vested with the power of eminent domain may
acquire property by condemnation for any public purpose. This bill provides that
property may be condemned only for the following public uses:
(a) The possession, occupation, and ownership of the property by a public
agency for the enjoyment of the public agency or the general public.
(b) The establishment or operation of a public utility.
(c) The elimination of blighted property.
2. Current law provides that, in general, property that is not blighted may not
be condemned if the condemnor intends to convey the property to a private entity.
This bill narrows the meaning of "blighted property," thus expanding the scope of the
prohibition. The bill also requires a condemnor who intends to convey property to
a private entity to make additional written findings before commencing the
condemnation. The condemnor must find that the property has been cited for one
or more violations of state or local building codes, that the violations have not been
remedied despite at least two notices to do so, and that the cost of remedying the
violations is equal to more than one-half the assessed value of the property,
excluding the value of the land.
3. Currently, a municipality may use a special procedure to condemn blighted
residential property. The special procedure allows such condemnations to occur
more quickly. This bill eliminates the special procedure and also requires that all
condemnations by a housing authority, redevelopment authority, or community
development authority be conducted using the regular procedure.
4. The bill specifies that whenever a property owner wishes to contest the right
of a condemnor to condemn his or her property in court, the owner's failure to raise
specific objections before receiving the condemnor's jurisdictional offer does not
preclude the owner's claim. The bill provides that in an action to contest the right
of a condemnor to condemn the owner's property, if the condemnor's intent is to
eliminate blight, the condemnor must prove by a preponderance of the evidence that
the owner's property is blighted property.
5. Currently, in most condemnation proceedings, the condemnor determines
the necessity of the taking. In certain instances involving public utilities, the Public
Service Commission (PSC) must issue a certificate of public convenience and
necessity, which constitutes the determination of the necessity of the taking. This
bill provides that in all cases except those in which a certificate of public convenience
and necessity suffices, a judge must determine the necessity of the taking, which
must be established by a preponderance of the evidence. The bill also provides that
the determination by the PSC of the necessity of taking an undeveloped water power
site is conclusive only if it is not arbitrary or unreasonable.
6. Current law allows a first class city (currently, only the city of Milwaukee)
to use an alternative procedure to condemn property. Current law requires that the
laws governing the alternative procedure be liberally construed "to provide the city
with the largest possible power." This bill requires that the laws governing the
alternative procedure be strictly construed.
7. The bill narrows the definition of "blighted area" and "blighted property" for
condemnations conducted by redevelopment authorities and eliminates the
provision requiring that the grant of eminent domain authority to redevelopment
authorities and the procedures governing such condemnations be liberally
construed.
For further information see the state and local fiscal estimate, which will be
printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
SB83, s. 1
1Section
1. 32.015 of the statutes is created to read:
SB83,3,4
232.015 Public use requirements. In addition to the restrictions specified in
3ss. 32.02 and 32.03, property may be acquired by condemnation only for the following
4public uses:
SB83,3,6
5(1) The possession, occupation, and ownership of the property by a public
6agency for the enjoyment of the public agency or the general public.
SB83,3,7
7(2) The establishment or operation of a public utility, as specified in s. 32.02.
SB83,3,8
8(3) The elimination of blighted property.
SB83, s. 2
9Section
2. 32.03 (6) (a) (intro.) of the statutes is amended to read:
SB83,3,1910
32.03
(6) (a) (intro.) In this subsection, "blighted property" means any property
11that is not zoned or used for agricultural purposes; that, by reason of abandonment,
12dilapidation, deterioration,
age or obsolescence, inadequate provisions for
13ventilation, light, air, or sanitation, high density of population and overcrowding,
14faulty lot layout in relation to size, adequacy, accessibility, or usefulness, unsanitary
15or unsafe conditions,
deterioration of site or other improvements, or the existence of
16conditions that endanger life or property by fire or other causes, or any combination
17of such factors, is detrimental to the public health, safety, or welfare
. Property that
18consists of only one dwelling unit is not blighted property unless, in addition,; and
19to which at least one of the following applies:
SB83, s. 3
20Section
3. 32.03 (6) (c) 5. to 7. of the statutes are created to read:
SB83,4,5
132.03
(6) (c) 5. A finding that the owner's property has been cited for one or more
2violations of applicable state or local building codes involving the roof and roof
3framing elements; support walls, beams, and headers; the foundation, footings, and
4subgrade conditions; light and ventilation; plumbing; fire protection; public utilities;
5flooring; or walls, insulation, and exterior envelope.
SB83,4,86
6. The code violations under subd. 5. have not been remedied despite the
7issuance by the local governmental unit that issued the citations of at least 2 notices
8to do so.
SB83,4,119
7. The cost of remedying the code violations under subd. 5. would exceed an
10amount equal to 50 percent of the most recent assessed value of the property,
11excluding the value of the land.
SB83, s. 4
12Section
4. 32.06 (intro.) of the statutes is amended to read:
SB83,4,16
1332.06 Condemnation procedure in other than transportation matters. 14(intro.) The procedure in condemnation in all matters except acquisitions under s.
1532.05
or 32.22, acquisitions under subch. II, acquisitions under subch. II of ch. 157,
16and acquisitions under ch. 197, shall be as follows:
SB83, s. 5
17Section
5. 32.06 (5) of the statutes is amended to read:
SB83,5,2218
32.06
(5) Court action to contest right of condemnation. When an owner
19desires to contest the right of the condemnor to condemn the property described in
20the jurisdictional offer for any reason other than that the amount of compensation
21offered is inadequate,
such the owner may within 40 days from the date of personal
22service of the jurisdictional offer or within 40 days from the date of postmark of the
23certified mail letter transmitting such offer, or within 40 days after date of
24publication of the jurisdictional offer as to persons for whom such publication was
25necessary and was made, commence an action in the circuit court of the county
1wherein in which the property is located, naming the condemnor as defendant. Such
2action shall be the only manner in which any issue other than the amount of just
3compensation or other than proceedings to perfect title under ss. 32.11 and 32.12 may
4be raised pertaining to the condemnation of the property described in the
5jurisdictional offer.
Failure to raise specific objections to the condemnation before
6the service of the jurisdictional offer does not preclude any claims in an action under
7this subsection. If the condemnor's intent in condemning the owner's property is to
8eliminate blight, the condemnor shall prove by a preponderance of the evidence that
9the owner's property is blighted property. The trial of the issues raised by the
10pleadings in such action shall be given precedence over all other actions in said court
11then not on trial. If such action is not commenced within the time limited the owner
12or other person having any interest in the property shall be forever barred from
13raising any such objection in any other manner. The commencement of an action by
14an owner under this subsection shall not prevent a condemnor from filing the
15petition provided for in sub. (7) and proceeding thereon. Nothing in this subsection
16shall be construed to limit in any respect the right to determine the necessity of
17taking as conferred by s. 32.07 nor to prevent the condemnor from proceeding with
18condemnation during the pendency of the action to contest the right to condemn.
19This section shall not apply to any owner who had a right to bring a proceeding
20pursuant to s. 66.431 (7), 1959 stats., prior to its repeal by
chapter 526, laws of 1961,
21effective on October 8, 1961, and, in lieu of this section, s. 66.431 (7), 1959 stats., as
22it existed prior to such effective date of repeal shall be the owner's exclusive remedy.
SB83, s. 6
23Section
6. 32.07 (2) of the statutes is repealed.
SB83, s. 7
24Section
7. 32.07 (3) of the statutes is amended to read:
SB83,6,2
132.07
(3) In all other cases, the judge shall determine the necessity
, which shall
2be established by a preponderance of the evidence.
SB83, s. 8
3Section
8. 32.07 (4) of the statutes is renumbered 32.07 (2m) amended to read:
SB83,6,64
32.07
(2m) The determination of the public service commission of the necessity
5of taking any undeveloped water power site made pursuant to s. 32.03 (3) shall be
6conclusive
unless the determination is arbitrary or unreasonable.
SB83, s. 9
7Section
9. 32.22 of the statutes is repealed.
SB83, s. 10
8Section
10. 32.51 (1) (intro.) of the statutes is renumbered 32.51 (1) and
9amended to read:
SB83,6,1210
32.51
(1) Purposes. In addition to the powers granted under subch. I, any Any 11city may condemn
or otherwise acquire property under this subchapter for
: the
12purposes specified in s. 32.015.
SB83, s. 11
13Section
11. 32.51 (1) (a) to (g) of the statutes are repealed.
SB83, s. 12
14Section
12. 32.71 of the statutes is amended to read:
SB83,6,17
1532.71 Liberal Strict construction. This subchapter
, being in derogation of
16the common law, shall be
liberally strictly construed
to provide the city with the
17largest possible power and leeway of action.
SB83, s. 13
18Section
13. 66.1201 (10) (a) of the statutes is amended to read:
SB83,6,2519
66.1201
(10) (a) The authority may acquire by eminent domain any real
20property, including fixtures and improvements, which it deems necessary to carry
21out the purposes of ss. 66.1201 to 66.1211 after the adoption by it of a resolution
22declaring that the acquisition of the property described in the resolution is in the
23public interest and necessary for public use. The authority
may shall exercise the
24power of eminent domain pursuant to ch. 32
or pursuant to any other applicable
25statutory provisions.
SB83, s. 14
1Section
14. 66.1201 (10) (b) to (g) of the statutes are repealed.
SB83, s. 15
2Section
15. 66.1311 (3) of the statutes is amended to read:
SB83,7,53
66.1311
(3) The provisions of ss. 66.1301 to 66.1329 with respect to the
4condemnation of real property by a city for a redevelopment corporation
prevail over
5the provisions of any other law are subject to the requirements in ch. 32.
SB83, s. 16
6Section
16. 66.1313 (1) of the statutes is amended to read: