Part VII: Environment, Energy and Natural Resources W THE PRIVATE Summary ALEC’s model Private Property Protection Act is designed to ensure property owner rights as established under the 5th Ame ndme nt to the United States Constitution through the establishmen t of reasonable standards for takings and a method of relief for landowners whose ri ghts have been taken by exce ss regulation. Key componen ts of the bill include: a definition of regulatory takings, gov ernmental compe nsations for property rights infri ngement, inverse condemnation procedures, regulatory rollback procedures, legal challenges and tax adjustments. Model Legislation {Title, enacting clause, etc.] Section 1. {Short Title.) This act shall be known and may be cited as the Private Property Protection Act. Section 2. {Legislative Findings & Declarations.} The legislature finds and declares that: (A) From time to time State and Local regulatory programs have the effect of reducing the market value of private property. (B) When State and local regulatory programs reduce the market value of private property and do not through their implementa tion abate a public nuisance affecting the public health, safety, morals or general welfare, it is fair and appropriate that the State or the locality comp ensate the property owner for the loss in market value of t he property caused by t he i mplementation of regulatory program. (C) Com pensation to the property owner is also fair and appropriate in cases involvi ng regulatory program s which abate a public nuisance-when the property owner neither contributed to the public nuisance nor acquire the property knowing of the public nuisance nor acquired the property in circumstances where the property owner should have know a bout the nuisance based upon prevailing community standard s. (D) In order to establish a fair and equitable compe nsation system to address these stated public policy concerns and findings, there is hereby established a compensation system in this act. (4 Regulatory takings. Whene ver implementa tion by the State or any of its political subdivisions of any regulat ory program operates to red uce the fai r market value of real property for the uses permitted at the time the owner acquired the title, or {insert date), whichever is later, the property shall be deemed to have been taken for the use of the public. Such regulatory program s include, but are not limited to, land use planning or zoning programs. (B ) Comp ensation Required. The owner or user shall have the right to require condemnation by and just compensation from the governmental unit, or units, when more than one governme ntal unit is i nvolved, imposing the regulation resulting in decreas ed value, or to receive compensation for the reduction in value caused by government action, and i n either case to have such compensation determine d by a jury. When more than one governme ntal unit is i nvolved, the court shall determine the proportion each unit shall be required to contribute to the compe nsation. (C ) Fair Market value. The compe nsation shall be for the full value of the interest taken or for the full amount of the decrease in fair market value. 03 Conditional waivers prohibited. Governmental units subjec t to the provisions of this Act shall not make waiver of the provisions of this Act a condition for approval of the use of real property or the issuance Volume I: Sourcebookof American StateLegislation 1995
