"THIS
LAND IS YOUR LAND,
THIS LAND IS GOD'S LAND":
TAKINGS
LEGISLATION VERSUS
THE JUDEO-CHRISTIAN LAND ETHIC
by
Ann Alexander, Fred Clark, Fred Krueger, and Stan LeQuire
A
BRIEF HISTORY OF THE TAKINGS ISSUE
The
term "takings" has its origins in the "Takings Clause" of the Fifth
Amendment to the United States Constitution, which states, "private
property shall not be taken for public use without just compensation."
This element of the Constitution's Bill of Rights prohibits the
government from seizing private property without paying its owner
for it at a fair market price. For example, if a state needs to
acquire a piece of privately-owned property to connect two sections
of highway or railway, it must pay for that property.
The
Takings Clause did not become a centerpiece of controversy until
very recently. For most of our nation's history, the Clause was
largely understood to apply to situations where the government physically
appropriated property, and was generally not interpreted to mean
that government regulation of private property could be the same
as the actual "taking" of it requiring compensation. State and local
governments have always regulated the use of land to ensure that
communities are livable -- for example, through zoning regulations
that prevent someone from building a foul-smelling factory next
to someone's home -- and the Fifth Amendment was not viewed as requiring
that owners of the regulated property be compensated for denial
of permission to build the factory. For instance, when the City
of Los Angeles in the early part of this century banned brick making
in residential areas because of the resulting "fumes, gases, smoke,
soot, steam and dust" the United States Supreme Court rejected an
argument by the owner of a brick making factory that the reduction
in the value of his property was a "taking." The Court held that
the city had the responsibility to protect its citizens, and pointed
out that the property still had value for other uses.
The
Supreme Court has recently revisited this traditionally narrow interpretation
of the Takings Clause in view of the growing body of environmental
laws that have been enacted since the 1970s. In response to public
concern over unchecked threats to public health and the environment,
federal, state, and local governments have in the past three decades
put in place a broad range of protective laws and regulations, such
as the Endangered Species Act and the wetlands provisions in the
Clean Water Act. These laws, which protect threatened environments
by limiting activities that would destroy them, by definition limit
the ability of property owners to maximize the profit-making potential
of their property by restricting development, logging, or other
economic uses of land. Arguments have been made to the Supreme Court
that when property values are diminished in this manner by governmental
regulation, the owners should be compensated for their economic
loss just as they would be if the government took their land outright.
Having
considered these arguments, the Supreme Court determined in a recent
series of decisions that the Takings Clause does, in fact, require
compensation in certain cases where environmental laws have diminished
property values. It held that the government must pay landowners
for their lost value in essentially three situations: when the government
physically takes land (for instance, to build a highway); when a
governmental regulation causes land to lose virtually all of its
value (for instance, where a wetlands regulation prohibits any development
whatsoever); and when the government demands that landowners use
their land in certain ways as a condition of receiving a permit
(for instance, to build something in a flood plain), where the demands
are unrelated to the permit itself.
Property
rights movement advocates take the position that even this expanded
interpretation of the Takings Clause is insufficiently protective
of land owners. They have, in addition to battling in court for
a more expansive reading of the Takings Clause, proposed federal
and state legislation that would go substantially beyond the Supreme
Court's interpretation in requiring compensation. These proposals
have generally stated that whenever an environmental or land use
regulation diminishes the value of a parcel of property by a specified,
usually modest amount -- in many cases 33 percent -- that reduction
constitutes a taking requiring compensation from the government.
While the most recent takings legislation proposed in Congress was
defeated, the property rights advocates have called for its re-introduction,
and have introduced many comparable proposals in state legislatures.
Environmental
groups have fought these proposals on the ground that they would,
as a practical matter, make many environmental laws so expensive
as to be unenforceable. They point out that compensation of every
private landowner every time a regulation decreased the land's value
would cost an astronomical amount of money, potentially in the hundreds
of billions of dollars. They estimate that the bureaucratic cost
alone of evaluating the changing value of land to determine the
appropriate level of compensation would be in the tens of millions
of dollars in every state per year. Since these immense expenditures
are entirely unaffordable, they state, enforcement of many environmental
laws would have to be drastically curtailed or outright eliminated.
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