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ENGROSSED SENATE
BILL NO. 994 By: Dahm of the Senate
and
West (Kevin) of the House
An Act relating to eminent domain; amending 27 O.S.
2011, Sections 5 and 17, which relate 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; prohibiting expansion 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 STAT E 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 ex isting under the laws of this state, shall
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 this title for a public
purpose use as described in Section 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 p erson from whom the property was
taken or the heirs of the person at the appraised valu e or the
original price at which the acqu iring 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 receipt
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 conveya nces for
redevelopment under Sections 38-101 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 numbering, reads as follows:
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. that has been cited for housing, maintenance , building
or property code violations that have not been
remedied within a reasonable time after two notices to
cure the noncompliance , or
c. for which property taxes have not been paid for at
least two (2) years;
2. "Blighted property" means a structure that meets any two (2)
of the following factors :
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a. was inspected by the appropriate local governme nt and
cited for one or more enforceable housing ,
maintenance, building or property code violations that
affect the safety of the occupants or the public
involving 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, building or property 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,
c. the housing, maintena nce or building code violations
have not been remedied within a reasonable time after
two notices to cure the noncompliance; or
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d. was inspected and cited by the appropr iate local
government for any violation of health and safety
codes; and
3. "Public use" means:
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. In cases where addressing blight is the public use provided
by the condemning authority, the condemning authority bears the
burden of proving by clear and convincing evidence that:
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1. The land, real estate, premises or other property the
authority seeks to acquire is required for the pub lic use stated in
the petition for condemnation; and
2. The public use stated in the petition for condemnation
cannot be accomplished by using or acquiring property that offers
similar access with the consent of the owner of the similar property
without undue financial burden.
C. The owner of private property being condemned for blight 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 fulfill 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 expand 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.
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Passed the Senate the 11th day of March, 2021.
Presiding Officer of the Senate
Passed the House of Repres entatives the ____ day of __________,
2021.
Presiding Officer of the House
of Representatives