10/20/2005
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NFIB member Nancy Kurdziel conducts a "walking tour" for Lansing lawmakers to show how local governments are abusing private property rights in Michigan. With Kurdziel, from left to right: State Reps. Leon Drolet (R-Macomb Township), Bob Gosselin (R-Troy) and Jacob Hoogendyk (R-Portage). |
Much attention has been focused on the recent U.S. Supreme Court decision that upheld the power of local governments to seize private property and give it to other private owners in the name of economic development. And while Michigan courts have held to a stricter standard in such cases, NFIB member Nancy Kurdziel has been working to curb local government abuse and affirm the rights of property owners.
Kurdziel, president of Prime Housing Group, testified before the Senate Transportation Committee on Sept. 27 on the issue of eminent domain abuse. Kurdziel's company owns 242 apartments in the City of East Lansing, Mich., and the city is attempting to condemn and take her property under the guise of clearing a "blighted" area. After hearing of her plight, the House Committee contacted NFIB and asked them to contact Kurdziel and put together a "walking committee hearing" tour of her property and the area the city claims is "blighted."
Under Michigan's eminent domain statutes and practice, governments have the ability to declare private property "blighted" or "contaminated" and then condemn and take the property for redevelopment. Unfortunately, some local governments in Michigan are abusing this approach to take small-business property for redevelopment purposes in order to increase their property tax revenues.
A case in point is East Lansing, where the city is trying to use a very liberal interpretation of the word "blight" as an excuse to tear down an entire block of apartments, retail businesses and restaurants. For most people, the image of a "blighted" area is one of boarded-up houses and vacant, dilapidated properties. However, the area in question is viable, thriving and one of the highest rent districts in the city. The city is abusing the blighted designation for their own development agenda, which is to be executed by a private, for-profit developer after private property is confiscated.
"The abuse of eminent domain is of great concern to us," Kurdziel said. "Our properties are always 100 percent occupied and well maintained, yet they have been designated as blighted because the City of East Lansing would like the area to be redeveloped."
Kurdziels's grassroots action will let lawmakers see for themselves what is at stake in the all important battle to protect the most basic principle of free enterprise: private property rights.
