[lbo-talk] eminent domain

[Jim Devine]

from SLATE's news summary Feb. 22:
>State legislatures are considering limiting the government's power of
eminent domain following a June Supreme Court ruling that established
that local governments can seize condemned private property to foster
economic growth. Eminent domain empowers cities to seize property for
"public use," as well as for developments such as malls, offices, and
condos, all provided the owner is fairly compensated. But fear of
eminent domain abuses has prompted states to consider several new
policies, such as banning the use of eminent domain for economic
development, making it harder to declare a neighborhood "blighted," or
forcing the government to pay above market value when confiscating
property.<

there's an interesting idea here: require the payment of a premium
price for eminent domain forclosures. This could save on bureaucratic
and legal red tape, by discouraging unusually exploitative takings.

It's a little like the Fed's current lender-of-last-resort discount
policy: they charge a higher interest rate and then make it relatively
easy for banks to apply and get loans. The premium discourages casual
borrowing.
--
Jim Devine / Bust Big Brother Bush!
"There is no abstract art. You must always start with something.
Afterward you can remove all traces of reality." -- Pablo Picasso