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Eminent domain deadline comes, but family stays put
Posted on 07/11/06
BY GENE RACZ
GANNETT NEW JERSEY

PISCATAWAY — The Halpers remained on their farm Monday night, defying an eviction notice after indicating earlier in the day they had planned to leave.
"Until they come and boot us out, we're still here," Zac Halper, 16, said at 10:30 Monday night. "It's our home, our land."

The teen said his parents, Clara and Larry Halper, were unavailable — his mother was at a taping of "Hannity & Colmes" while his father was out getting something to eat.

It was a different scene earlier Monday when the Halpers gave the appearance they planned to leave the 75-acre Piscataway farm on the day they were being evicted after a long battle with Middlesex County and township officials.

Minutes before Monday's 3 p.m. deadline set by the New Jersey Supreme Court, Clara Halper was moved to tears. As she and her family scrambled to gather their belongings in the midday heat, one of the many people she met throughout what has been a seven-year ordeal showed up at her doorstep.

Lisa Valle, a township resident who came to know and support Clara Halper in her struggle to keep the farm and business from being taken under eminent domain laws, hugged her, told her she was sorry, and gave her a necklace of her patron saint, St. Michael, that read "Pray for Us."

"I took this family into my heart, as should every American," said Valle.

A modest gathering had lingered throughout the day — friends, acquaintances, neighbors and some opponents of the eminent domain laws that were at the root of the family's eviction after legal wrangling with Middlesex County and the township.

The Halpers contend that the process was rife with conflicts of interest and that parts of the negotiations were not done in good faith.

Piscataway plans to use the property for passive recreation with an arboretum, gazebos, a dog park, several tree nurseries, and jogging and bike paths, according to plans presented in February.

Township officials have maintained the Halper property is an eyesore and has not been actively farmed for years. They also have said the cleanup and preservation of the property as open space is in the best interests of the majority of Piscataway residents.

Behind the scenes Monday, the Halpers' attorney, Barbara Schwartz, was in U.S. District Court for the District of New Jersey in Newark, trying to get a restraining order on the eviction. She was denied the ability to file the motion, according to someone familiar with the proceedings who asked not to be identified.

The case may be appealed further to the U.S. Supreme Court.


Holdouts in eminent domain case agree to leave homes
(New London-WTNH, June 30, 2006 Updated 6:20 PM) _ The battle over homes in a Fort Trumbull neighborhood of New London has ended. The final two holdouts have agreed to leave their property so it can be turned over to a private developer.
by News Channel 8's Tina Detelj
It's just a small pink cottage, but it's had a big effect on politics, development and emotion in New London. The cottage, which is owned by the woman who was the lead plaintiff in the eminent domain case, will be moved to another part of New London.
"This little pink cottage, this symbol of the struggle against eminent domain abuse, and it's now known throughout the nation and it's probably New London's most famous landmark right now, is gonna be preserved," attorney Scott Bullock said.
Bullock, who represented Susette Kelo in her Supreme Court suit against the city, says it is a bittersweet day for her and Michael Christofaro, the two final former property owners to sign a deal with the city.
Christofaro also received some concessions. A plaque honoring his mother Margherita and her struggle in this fight will be placed along the city's waterfront. His father Pascquale's home though will be knocked down, although the family does have the option to rebuild if Fort Trumbull is redeveloped as a residential area.
"We have the option to move back into the neighborhood which we will. That is something we will do," Michael Christofaro said.
"If they develop?"
"Yes. If they develop, but we have a nine year option. I hope they're gonna do something. I mean, if they can't turn that thing around in nine years why did these people lose their homes?"
"We wanted to make sure that we treated the occupants with a great deal of respect and compassion and addressed their needs as best we could," said Ron Angelo from the Connecticut Department of Economic and Community Development, "and I think we did that for them and we hope to now start the healing process and hope that we can all move forward with development."
"Right now on the table we have a fifty million dollar museum, we have fifteen million dollars worth of housing plus a hundred room hotel and tens of thousands of square feet of office space ready to take on a high tech tenant, so it's great news for the region," New London Mayor Beth Sabilia said.
 

Posted on Sat, Jun. 24, 2006
Bush curbs eminent domain
Property can be seized for public uses only, not private development, his executive order says.
By Jennifer Loven
Associated Press

WASHINGTON - President Bush ordered yesterday that the federal government may not seize private property except for a public use such as a hospital or road.

His action occurred on the one-year anniversary of a controversial Supreme Court decision that gave local governments broad power to bulldoze people's homes to make way for private development.

The majority opinion in the Kelo v. City of New London, a case involving Connecticut homeowners, limited those homeowners' rights, saying that local governments could take private property for purely economic development-related projects that aimed to bring in more jobs and tax revenue.

But the court also said states were free to pass additional protections, and many have done so, barring so-called takings for shopping malls or other private projects.

Sen. John Cornyn (R., Texas) welcomed Bush's executive order. But since the federal government has only a limited role in such projects, he said, Congress must do more. Cornyn has introduced legislation that would also bar federal funding for any state or local projects in which the land was obtained through eminent domain.

"The protection of homes and small businesses and other private property against government seizure or unreasonable government interference is a fundamental principle of American life and a distinctive aspect of our form of government," Cornyn said.

He called the Kelo ruling "a radical departure from the decisions handed down interpreting that constitutional provision over the last 200 years." Bush's action, Cornyn said, is "an important step toward righting that wrong."

PROTESTS HELD: In Long Branch, Asbury Park

ACTIVIST: Decries "terrible, immoral movement by government'
Rallies condemn property taking

Posted  06/24/06
BY CAROL GORGA WILLIAMS AND ANDREA ALEXANDER
STAFF WRITERS

LONG BRANCH — It was not a good date for property rights.

Friday was the one-year anniversary of the U.S. Supreme Court's ruling in a Connecticut case — called the Kelo decision after Susette Kelo, who fought efforts to take her home for redevelopment in New London — that affirmed the government's right to take private property for economic development.

But in the year that followed, said speakers at protest rallies here and in Asbury Park to mark the date, the nation has become galvanized to stop the use of eminent domain — the government's right to take private property for a public purpose — to benefit other private individuals, such as developers.

"One of the great things about this movement is it brings us together to fight a terrible, immoral movement by government," Bill Potter, who runs the New Jersey Coalition Against Eminent Domain Abuse, said at a rally in the Marine Terrace, Ocean Terrace and Seaview Avenue (MTOTSA) area of Long Branch that has become the symbol of the eminent domain controversy here.

"You're trying to live the American dream the way it is supposed to be lived," Potter said.

More than 100 people showed up at the evening Long Branch rally, carrying signs that read "Enough is Enough," "K. Hovnanian, Leave Us Alone," referring to the regional developer that is tied to the city's redevelopment, and "Stop, Stop, Stop." The event drew people from Trenton, Lodi, Piscataway, Newark, Bound Brook, Asbury Park and Neptune.

About 20 people attended the midday Asbury Park rally, including those from Neptune and Long Branch.

Asbury Park Councilman James Keady called for a statewide moratorium on eminent domain abuse. He said city officials voted to take property "without just compensation."

"It is not for the good of Asbury Park," Keady said. "It is for the good of out-of-town developers who are going to reap millions."

Kerry Butch, 41, of Asbury Park, an organizer of the earlier rally, called the use of eminent domain for redevelopment projects "immoral, unjust" and "absolutely wrong."

After the rally, Asbury Park Deputy Mayor James Bruno defended the city's redevelopment plan and said the majority of the council is committed to the agreement.

"This is for the betterment of the entire city," Bruno said.

Many of the city's critics "don't know how it was through the '80s and '90s," Bruno said. "It was a blighted area and we had to do something that would save this city."

Friday was also a day when Long Branch Mayor Adam Schneider again offered to negotiate with full-time residents interested in acquiring condominiums in the new oceanfront development that some homeowners say is unfairly displacing them.

Schneider said he talked with Gregory S. Russo, vice president of Applied Development Co. of Hoboken. The company and Matzel & Mumford, a subsidiary of K. Hovnanian, make up MM-Beachfront North II LLC, the redeveloper of the second phase of Beachfront North. The condo offer remains on the table, he said.

"Absolutely," Schneider said. "We've felt from the beginning of the process — going back a dozen years — people who lived down there, we'd like to keep them on the oceanfront the best we can . . . We'd be willing to sit down and see if we can make that work."

Schneider reaffirmed the offer one day after the city prevailed in a bitter court battle with MTOTSA property owners over the right to take their properties.

"We will not stop here," William Giordano of MTOTSA said. "We will fight on."

For Louis T. Anzalone, the condominium offer holds no appeal.

"Tell the mayor I don't want no condo," Anzalone said Friday night. "I don't want to go into a tenement on high."

Superior Court Judge Lawrence M. Lawson in his decision Thursday had questioned whether the residents had engaged in "good faith" negotiations after they had accused the city of failing to do the same.

"Negotiations are a two-way street," Lawson wrote. "Where, as here, the condemnees make it clear that they do not intend to sell their properties, negotiations are rendered a practical impossibility. Thus, the court cannot find that the city failed to engage in bona fide negotiations."

Lawson's decision involves a number of MTOTSA property owners: Gregory P. Brower, Francis T. DeLuca, Alan A. Cook, Louis T. and Lillian Anzalone, the estate of Elsa DeFaria, Richard and Peter Squirlock, Albert A. Viviano, Ellen Eagan and Jean Sadenwater, Mary and Marino Milano, Carmen and Josephine Vendetti and Joyce and Philip Melillo.

Lawson did not grant the homeowners' request for a stay of the decision pending an appeal, and City Attorney James G. Aaron said the city filed a motion Friday to appoint commissioners to establish the value of the disputed properties.

The judge generally has between 90 and 120 days to appoint three commissioners who will determine the fair market value of the properties, although because there are so many hearings at issue here, the judge could take longer, Aaron said.

But because there is no stay of the decision, the city could move immediately to take the homes.

"From a legal position, the decision is pretty well bullet-proof," Aaron said. "The judge's findings are so strong, it is going to be very hard to overturn . . . When a lawyer takes a look at this, they are going to say, "Oh, my goodness, this is a very strong decision.' "

William J. Ward, the Florham Park attorney who represents MTOTSA residents DeLuca and Anzalone, said the decision "basically slam-dunked us on everything."

Even so, he believes the decision can be appealed, and he vowed to do so. The basis of the appeal will likely include the conflicts of interest issues that Lawson dismissed — allegations of favoritism by Aaron's law firm because it had represented K. Hovnanian, and by the law firm of Arthur Greenbaum, who has served on the board of directors for K. Hovnanian since 1992. Greenbaum's firm served as redevelopment counsel for the city.

Ward called the conflict issue "blatant and startling. If we get a three-judge panel to look at it, they are going to be shocked."

Ward also said he would challenge the aspect of the decision that says the homeowners did not timely challenge the redevelopment designation in 1996, waiting 10 years to go to court.

Scott G. Bullock of the Institute for Justice, the Washington, D.C.-based group that focuses on individual and property rights, said Lawson's ruling is "an incredibly poorly reasoned decision and one that lends itself very well to appeal." Bullock argued the Connecticut case before the U.S. Supreme Court, and the institute helped write the briefs in the Long Branch case.

He said Lawson's not taking a position on MTOTSA's contention that the redeveloper has an inappropriate role in the process — the right to reject payment greater than the fair market value to a homeowner — shows how flawed the decision is.

"This cannot stand as law in New Jersey," Bullock said.

Assemblyman Michael J. Panter, D-Monmouth, attended the Long Branch rally, a day after he voted against the eminent domain bill sponsored by Assemblyman John J. Burzichelli, D-Gloucester, that was nonetheless approved by the Assembly Thursday. Critics say it does not go far enough in protecting property owners.

Panter said the original Kelo decision "opened a candy store for politically connected developers and it is a candy store we have to shut down . . . . The government should never be taking away property to give to someone else."

For Harold Bobrow, whose seasonal home in the city's Beachfront South section is threatened by eminent domain, the decision by Lawson is difficult to accept.

"He may be legally correct, but he is certainly not morally correct," Bobrow said.

For Rev. Kevin Brown, former candidate for Mayor in Long Branch, and Founding Pastor of the Lighthouse Mission, who helped start the statewide coalition, now taking a back seat as different personalities struggle for power over this new group.

"I sat here and listened to the speakers and watched the people as they displayed their disdain for the apparent refusal of New Jersey's Elected Officials decision to continue using eminent domain for private gain.  I couldn't help but wonder what will happen next November when the 80 members of The Assembly are up for re-election.  However, I was pleased that through the grey clouds of the skies above us tonight that President Bush signed an executive order today protecting private property rights."  Rev. Kevin Brown. Lighthouse Mission, Long Branch, whose home, church and business is threatened by the Broadway Arts plan.


 

Eminent domain on rise, foes say

Report: 611 N.J. properties at risk
Posted on 06/21/06
BY GREGORY J. VOLPE
GANNETT STATE BUREAU

TRENTON — In the year since the U.S. Supreme Court upheld government's right to take property for private redevelopment, the number of properties eyed for government grabs has nearly tripled nationally, according to a group of reports released Tuesday.

New Jersey, one of 20 states that had legislative sessions but no eminent domain reform law signed in 2005-06, ranked fourth on the list with 611 properties threatened by condemnation since last June's Supreme Court ruling, known as the Kelo decision.

Nationally, 5,783 properties have been targeted for private redevelopment this year, reports the Institute for Justice, which found there had been an average of 2,056 per year from 1998 to 2002.

"Unbelievable. It's madness. It's absolute madness," said the Rev. Kevin Brown, whose Long Branch church, home and business are threatened by eminent domain. "It violates the Tenth Commandment when you think about it: Thou shalt not covet thy neighbor's home."

The numbers didn't surprise Bill Potter, chairman of the New Jersey Coalition Against Eminent Domain Abuse.

"Kelo certainly told the nation that everybody's property is up for grabs," Potter said. "It's past time for the New Jersey Legislature and the governor to protect the property owners and homeowners and farmers of New Jersey."

But those who support eminent domain say the reports' numbers aren't reflective of homes that are actually taken and accuse the institute of being biased against any use of eminent domain for private redevelopment.

"It just annoys me to no end that they just have a knee-jerk reaction that if you use eminent domain you're bad and you must be on the side of the devil," said William Dressel Jr., executive director of the New Jersey State League of Municipalities. "And that's absolutely wrong."

Patrick J. O'Keefe, chief executive officer of the New Jersey Builders Association, said the number of properties included in the study far exceeds those that are actually in danger of being taken. And if the number were accurate, O'Keefe said, it's still 611 in a state with 3.4 million homes.

"It is not a large number in relative terms to the number of properties that are out there," O'Keefe said.

Since the decision, 13 states have passed reform laws the institute applauded as substantive and 12 others it said offer increased safeguards for property owners. Three more states' reform bills await governors' signatures. Eleven states have done nothing, while New Jersey and five others have measures pending in the Legislature. In the five remaining states, lawmakers haven't been in session.

"New Jersey is one of the worst states in the country, and they're not doing anything," said Dana Berliner, an institute senior attorney.

Vote set in Assembly

The Assembly is scheduled to vote Thursday — a day before the Kelo anniversary — on a measure that aims to place more burdens on towns seeking to redevelop, limits what land can be taken and requires more compensation to those who lose property.

Assemblyman John Burzichelli, D-Gloucester, the bill's sponsor, said he's pleased with the bill's progress.

The proposal "goes a long way in ensuring people that this process and this very powerful tool of government will not be unleashed in any kind of haphazard fashion," Burzichelli said.

A Senate committee plans summer hearings on a different eminent domain proposal.

Critics say the measure doesn't go far enough in restricting towns from using eminent domain for private projects.

"The bill in the Legislature is not going to change the fact that New Jersey is fourth," New Jersey Sierra Club director Jeff Tittel said. "Eminent domain is still going to be abused if this bill is passed."

 Retooled eminent-domain limits face Assembly vote
06/20/06
BY GREGORY J. VOLPE
GANNETT STATE BUREAU

TRENTON — An Assembly panel approved limits on the use of eminent domain Monday after more changes that left some critics less averse and some supporters reconsidering their position.
After making many changes in the two weeks since Assemblyman John Burzichelli, D-Gloucester, introduced the measure aimed at giving residents more protection from government taking people's land for private redevelopment, the Assembly Commerce and Economic Development Committee approved it 6-1, sending it to the full Assembly for a vote Thursday.
The bill requires more notification when a municipality is considering taking land for redevelopment, more compensation to those who lose property, and a greater burden of proof on government for the necessity of taking land.
The strongest criticism Monday revolved around pay-to-play, the practice of rewarding political donors with government contracts. The latest changes subject redevelopers to pay-to-play bans if they aren't named via a "fair and open" process. The language mirrors the state ban except that it removes the threshold limiting it to contracts over $17,500 because many redevelopment contracts don't involve money.
Assemblywoman Amy Handlin, R-Monmouth, who cast the lone vote against the bill in the committee, wanted to ban all contributions for six years and implement an anti-nepotism provision.
"I can't vote to create a new process that is easily corruptable," Handlin said.
Public Advocate Ronald Chen and environmentalists also lamented the lack of a stronger pay-to-play provision.
"When redevelopment occurs, there's a tremendous amount of money at stake, and the government assumes awesome powers," Chen said. "Pay-to-play reform is essential to eliminate some of the appearances of impropriety."
Chen praised the efforts to objectively define blight, limiting the reasons government can take private land, but said the bill should do more than require replacing government-subsidized — and not all — affordable housing units.
Other changes brought some praise from one of the measure's biggest critics.
"Each time we meet, it does seem to get better," New Jersey Sierra Club Director Jeff Tittel said to Burzichelli. "I'd like a couple more meetings, but I know you don't want to do that."
Two of the measure's biggest supporters seemed less enthused.
The New Jersey Builders Association is reconsidering its support over concerns that it might impose unfair burdens on projects that don't involve taking property, make developers disclose compensation given to property owners in a redevelopment area, and mandate a period of 20 business days in which those displaced have rights of first refusal for the new construction.
The New Jersey State League of Municipalities still supports the proposal but is concerned it will become more restrictive.
"We just want to make sure that, at the end of the day and after all these changes, that we don't go so far . . . that we dampen economic development in the state," said William Dressel Jr., the league's director.
Burzichelli said he has reached a fair balance between municipalities' need to revitalize and homeowner protection by mandating more hurdles for towns and higher prices for taking land.
Burzichelli expects the bill to be approved by the full Assembly on Thursday. It has made no progress in the Senate, where Sen. Ronald Rice, D-Essex, has sponsored a different eminent-domain bill that he doesn't expect to move until after the summer.

®
 

Appeals panel backs landowner in eminent domain case
Long Branch deemed area blighted
Posted by the Asbury Park Press on 06/15/06
BY CAROL GORGA WILLIAMS
COASTAL MONMOUTH BUREAU

LONG BRANCH — A state appellate panel ruled against the city Wednesday in an eminent domain case involving a former landowner who appealed a 2005 decision on properties in Beachfront North.
That means the case will be sent back to Freehold so a new "just compensation" figure can be set by a jury.
"It is significant to Mr. (Dennis) Spanos because he gets to have his day in court," said Kenneth D. McPherson Jr., who argued the case on appeal. The city's attorney, Paul V. Fernicola, could not be reached.
The case began in 1982 when Dennis S. Spanos and his wife, Theonie, purchased adjacent vacant lots identified as 32 Ocean Ave. North that they hoped to use as a retirement investment.
In 1984, the city deemed as blighted the area in a redevelopment project — not the one currently under way — and the lawsuit said the Spanoses "put their future plans of building and operating a restaurant on the property on hold."
In early 1987, the Spanoses received a letter from the lawyer from the Long Branch Redevelopment Agency offering to buy their property for $127,000, but they declined. Soon afterward, a nearby property owner offered to buy their property for $650,000, but the deal fell through, the lawsuit says.
In December 1988, the city revalued the property, assessing the lots at $414,800.
Then, on Jan. 9, 1996, the city enacted an ordinance increasing the maximum permitted development density in some zones from 18 units an acre to 30 units an acre.
On Jan. 23, 1996, the city adopted a resolution designating much of the city's oceanfront, including the Spanos property, as an area in need of redevelopment. On Jan. 23, 2001, the city authorized the use of eminent domain to acquire the property, appraising it at $152,600.
In arriving at the assessed value, the ap-praiser, Hugh A. McGuire of McGuire Associates, did not mention the less restrictive 1996 zoning ordinance, which the appellate panel said would have undoubtedly increased the value of the property.
A condemnation commissioners' hearing was held Nov. 25, 2002, in which McGuire was the only witness. The commissioners fixed compensation at $294,000.
On Dec. 6, 2002, the city appealed that award, but the Spanoses never filed a cross-appeal. Meanwhile, after receiving the city's notice of appeal, the Spanoses' lawyer contacted Jon Brody of the Appraisal Consultants Corp., who determined the market value of the Spanoses' property was $1,070,000.
The trial judge agreed with the city, granting its motion to fix the final compensation at $294,000. But the appellate panel disagreed, saying the failure to file a cross-appeal was not fatal to the case, and that Long Branch's failure to reveal the less restrictive zoning ordinance was problematic.
". . . The city cannot claim prejudice due to (the Spanoses') attempt to receive full fair market value for their property in light of the applicable zoning regulations," the appellate panel wrote. The Spanoses' "right to receive "every reasonable consideration' before the invasive power of eminent domain may be exercised warrants a remand so that their land may be properly valued."

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