Req. No. 7525 Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 STATE OF OKLAHOMA 1st Session of the 59th Legislature (2023) COMMITTEE SUBSTITUTE FOR HOUSE BILL NO. 2191 By: West (Kevin) COMMITTEE SUBSTITUTE An Act relating to eminent domain; amending 27 O.S. 2021, Sections 5 and 17, which relate to local governments and resale of surplus property; conforming language; defining terms; prohibiting taking of private property unless for certain uses and with compensation; requiring court to strictly construe certain provisions; prohibiti ng expansion of eminent domain powers absent statutory authority; providing exception; providing for codification; and providing an effective date. BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 27 O.S. 2021, Section 5, is amended to read as follows: Section 5. Any county, city, town, township, school district, or board of education, or any board or official having charge of cemeteries created and existing 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, cemeteries, public parks and other public purposes uses. Req. No. 7525 Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 SECTION 2. AMENDATORY 27 O.S. 2 021, Section 17, is amended to read as follows: Section 17. A. In the event that a portion of the total amount of real property taken by eminent domain under the procedures set forth in Title 27 of the Oklahoma Sta tutes 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 property, 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, wh ichever 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 the right of first refusal by sending notice by certified mail, ret urn 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 the right of first refusal shall be provided by publication in a ne wspaper of general circulation in the community where the real property is located. The notice shall contain the name of the former landowner and a Req. No. 7525 Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 legal description of the surplus prop erty. If the offer to repurchase is not accepted within ninety (90) d ays from the date of notice or if the offer to repurchase is not 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 conveyan ces for redevelopment under Se ctions 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, unle ss there is created a duplication in numbering, read s as follows: For the purposes of this act: 1. "Abandoned property" means either of the following: a. a property that has been substantially unoccupi ed or unused for any commercial or residential purpose for at least one (1) year by a person with a legal or equitable right to occupy the property that has been cited as a public nuisance in violation of a housing, maintenance, building, or property code which has not been remedied within a reasonable time a fter two notices to cure the noncompliance and has h ad a public hearing and a subsequent court proceeding made available to the property owner, or Req. No. 7525 Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 b. a property for which property taxes have not been pa id for at least two (2) years; 2. "Blighted property" means a structure tha t was inspected by the appropriate government entity, cited for one or more enforceable housing, maintenance, building, or property code violations which by reason of dilapidation, deterioration, age, or obsolescence of the structure threatens the health a nd safety of the occupants or the public, has not been remedied within a reasonable time after two notices to cure the noncompliance, and has had a public hearing and a subsequent court proceeding made available to the property owner; and 3. "Public use" means: a. the possession, occu pation, ownership, and enjoyment of the land by the general public, or by a government entity for use as a public highway, road, easement or a right-of-way, public building, public cemetery, public park, or other public use, b. the possession, occupation, and ownership of land necessary for operations of a public utility or private entity authorized by statute that serves the general public, c. the remediation of a blighted property, or d. the possession of an abandoned propert y. Req. No. 7525 Page 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 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 numbering, reads as follows: A. Private property may not be taken or damaged b y a condemning authority unless the taking or damage is necessary for a public use and with just compensation. The public purpose or public benefit of economic development, including an increase in tax base, tax revenues, employment, or general economic h ealth, does not constitute a public use. B. Nothing in subsection A of this section shall be construed to prohibit a taking of private property for public use as defined in subparagraphs a, b, c, and d of paragraph 3 of Section 3 of this act because the public use also provides ancill ary economic benefits. C. The court shall strictly construe eminent domain statutes in favor of the property owner and against the condemning authority. D. A governmental body subordinate to the state may not exercise, create, extend, or expand a power o f 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. Req. No. 7525 Page 6 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 SECTION 5. This act shall become effective November 1, 2023 . 59-1-7525 GRS 02/16/23