Oklahoma 2022 2022 Regular Session

Oklahoma Senate Bill SB994 Amended / Bill

Filed 02/24/2021

                     
 
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SENATE FLOOR VERSION 
February 23, 2021 
 
 
SENATE BILL NO. 994 	By: Dahm 
 
 
 
 
 
An Act relating to eminent domain; amending 27 O.S. 
2011, Sections 5 and 17, which r elate to local 
governments and resale of surp lus property; 
conforming language; defining terms; prohibiting 
taking of private property unless for certain uses 
and with compensation; placing burden of proof on 
condemning authority; granting certain rights to 
private property owners; requiring court to stric tly 
construe certain provisions; proh ibiting expand of 
eminent domain powers absent statutory authority; 
providing exception; prov iding for codificatio n; and 
providing an effective date. 
 
 
 
 
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: 
SECTION 1.     AMENDATORY     27 O.S. 2011, Section 5, is 
amended to read as follows: 
Section 5. Any county, city, town, township, school dis trict, 
or board of education, or any board or offici al having charge of 
cemeteries created and existing under the laws of this state, sh all 
have power to condemn lands in like manner as railroad companies, 
for highways, rights-of-way, building sites, cemet eries, public 
parks and other public purposes uses. 
SECTION 2.     AMENDATORY     27 O.S. 2011, Section 17, is 
amended to read as follows:   
 
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Section 17. A.  In the event that a portion of the total amount 
of real property taken by eminent domain unde r the procedures set 
forth in Title 27 of the Oklahoma Statutes for a public purpose use 
as described in Secti on 9 of Title 27 of the Oklahoma Statutes this 
title is not used for the purposes uses for which it was condemned 
or for another public use by the agency or other entity which 
acquired the real prop erty, the portion of the real property that is 
not used shall be declared surplus and shall be first offered for 
resale to the person from whom the property was taken or the heirs 
of the person at the appraised valu e or the original price at which 
the acquiring agency or entity purchased that portion of the 
property, whichever is less. 
B. For purposes of complying with subsection A of this section, 
the agency or entity which acquired the real property by 
condemnation shall notify the former landowner of th e right of first 
refusal by sending notice by certified mail, return rece ipt 
requested, to the last-known address of the person as provided by 
the person.  If the mail is returned as not subject to delivery or 
the former landowner is deceased, notice of th e right of first 
refusal shall be provided by publication in a newspaper of general 
circulation in the community where the real property is located.  
The notice shall contain the name of the former landowner and a 
legal description of the surplus property.  If the offer to 
repurchase is not accepted within ninety (90) days from the date of   
 
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notice or if the offer to repurchase is no t accepted from the date 
the resale price on the property is determined, the property m ay 
then be sold at public sale. 
C.  This section shall not apply to conveyances for 
redevelopment under Sections 3 8-101 through 38-123 of Title 11 of 
the Oklahoma Statutes. 
SECTION 3.     NEW LAW     A new section of law to be codified 
in the Oklahoma Statutes as Section 41 of Title 27, unless there is 
created a duplication in numb ering, reads as follo ws: 
For the purposes of this act: 
1.  “Abandoned property” means property: 
a. that has been substantially unoccupied or unused for 
any commercial or residential purpose for at least o ne 
(1) year by a person with a legal or equitable right 
to occupy the property, 
b. has been cited for housing, maintenance or building 
code violations that have not been remedied within a 
reasonable time after two notices to cure the 
noncompliance, and 
c. for which property taxes have not been paid for at 
least two years; 
2.  “Blighted property” means a structure that: 
a. was inspected by the appropriate local governme nt and 
cited for one or more enforceable housing ,   
 
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maintenance, or building code violation s that affect 
the safety of the occupants or the public and involve 
one or more of the following: 
(1) a roof and roof framing element , 
(2) support walls, beams and headers, 
(3) foundation, footings and subgrade conditions, 
(4) light and ventilation , 
(5) fire protection including egress, 
(6) internal utilities including electricity, gas and 
water, 
(7) flooring and flooring elements, or 
(8) walls, insulation and exterior envelope , 
b. the satisfaction of th e enforceable, cited and uncured 
housing, maintenance and building code violations 
listed in subparagraph a of this paragraph cost more 
than fifty percent (50%) of the assessor’s taxable 
market value for the building, excluding land value, 
for property taxes pay able in the year in which the 
condemnation is commenced, and 
c. the housing, maintenance or building code violations 
have not been remedied within a reasonable time after 
two notices to cure the noncompliance; and 
3.  “Public use” means:   
 
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a. the possession, occupation, ownership and enjoyment of 
the land by the general public, or by public agencies , 
b. the possession, occupation and ownership of land 
necessary for operations of a public utility that 
serves the general public, 
c. the remediation of a blighted property, or 
d. the possession of an abandoned property. 
SECTION 4.     NEW LAW     A new section of law to be codified 
in the Oklahoma Statutes as Section 42 of Title 27, unless there is 
created a duplication in numb ering, reads as foll ows: 
A.  Private property may not be take n or damaged by a condemning 
authority unless the taking or damage i s necessary for a public use 
and with just compensation . The public purpose or public benefit of 
economic development including an increase in ta x base, tax 
revenues, employment or general economic health, does not constitute 
a public use. 
B.  A condemning authority bears the burden of proving by clear 
and convincing evidence that: 
1.  The land, real estate, premises or other property the 
authority seeks to acquire is required for the pub lic use in the 
petition for condemnation; and 
2.  The public use iden tified in the petition for condemnation 
cannot be accomplished by using or acquiring other property with the 
consent of the owner.   
 
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C.  The owner of private property has a right to have a court 
determine whether private property is being taken for a public or 
private use, to remediate an abandoned property, to remediate 
blighted property, or if such taking is required to fulf ill the 
public use as stated in the petition for condemnation . The court 
shall strictly construe eminent domain statutes in favor of t he 
property owner and against the condemning authority. 
D.  A governmental body subordinate to the state may not 
exercise, create, extend or expa nd a power of eminent domain in the 
absence of statutory authority.  Additional procedures, remedies or 
limitations that do not deny or diminish the substantive and 
procedural rights and protections of property owners under this 
section may be provided by other law, ordinance or charter. 
SECTION 5.  This act shall become effective November 1, 2021. 
COMMITTEE REPORT BY: COMMITTEE ON JUDICIARY 
February 23, 2021 - DO PASS