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Location: Nashville, Tennessee, United States

1/29/2003

Take This
Reason magazine explores the unreasonableness in the way municipal governments are increasingly abusing eminent domain to benefit private businesses.

Eminent domain has a long history, and it isn’t likely to go away. After all, it’s enshrined in the U.S. Constitution, not to mention the constitutions of all 50 states. What distinguishes the current era is the degree to which local governments are willing to use this power to achieve all manner of public policy goals. Sometimes they succeed, and sometimes they’re driven back by public protest or the courts. But they’re unquestionably pushing the boundaries.

In the current climate, many of the traditional constraints on public takings of private property seem to have disappeared. Most redevelopment laws, including Arizona’s, explicitly acknowledge that land can be taken even if the beneficiaries will be other private parties. This principle is even articulated in federal law, through the 1954 Supreme Court decision Berman v. Parker, which allowed local governments to condemn land for urban renewal and then transfer title to private parties. Even then, local governments didn’t have carte blanche; they had to justify the taking as a way to mitigate "urban blight." But over the years that term has become little more than a name for property a government wants to take. Today redevelopment agencies enjoy more discretion than ever, and eminent domain is becoming their tool of choice.