But The Point Is, It’s Vacant Land For The Benefit of the Public

Effluvia

You may remember Kelo v. City of New London, the abysmal decision in which Justices Stevens, Souter, Kennedy, Ginsburg, and Breyer decided that the takings clause of the Fifth Amendment permitted the City of New London, Connecticut to condemn private property so that it could hand it over to private developers, on the theory that the private developers would develop things that would provide jobs and tax base and rainbows and unicorns, and New London would become like unto Shangri-La. The five justices’ reasoning, to use the term generously, was that though the government cannot take property from citizens to benefit some private party, it may do so for any purported public purpose. That means your state and local government can take your property if it can come up with any half-assed scheme that meets the rational basis test, a low bar indeed.

The majority in Kelo waxed rhapsodic about New London’s plan:

Those who govern the City were not confronted with the need to remove blight in the Fort Trumbull area, but their determination that the area was sufficiently distressed to justify a program of economic rejuvenation is entitled to our deference. The City has carefully formulated an economic development plan that it believes will provide appreciable benefits to the community, including–but by no means limited to–new jobs and increased tax revenue. As with other exercises in urban planning and development, the City is endeavoring to coordinate a variety of commercial, residential, and recreational uses of land, with the hope that they will form a whole greater than the sum of its parts.

Wow! That sounds great! So New London must be thriving now that SCOTUS shut down those whiny property owners and approved condemnation of their property, right?

Right?

Well . . . .

Now, four years after that decision gave Susette Kelo’s land to private developers for a project including a hotel and offices intended to enhance Pfizer Inc.’s nearby corporate facility, the pharmaceutical giant has announced it will close its research and development headquarters in New London, Connecticut.

The aftermath of Kelo is the latest example of the futility of using eminent domain as corporate welfare. While Ms. Kelo and her neighbors lost their homes, the city and the state spent some $78 million to bulldoze private property for high-end condos and other “desirable” elements. Instead, the wrecked and condemned neighborhood still stands vacant, without any of the touted tax benefits or job creation.

In other words, state and local government forced American citizens out of their homes so to help a ginormous corporation, hoping that the corporation would drop some crumbs to the locals, and even plowed $78 million in taxpayer money into a big heap of dirt, and was left with nothing.

This was completely unforeseeable. Unless, of course, you have any familiarity whatsoever with economic fluctuations, real estate markets, or state and local government — not to mention the sort of dimwitted sacks of protoplasm who tend to staff state and local government.

I avoid eliminationist rhetoric. I try to eschew overheated threats. But let me say this: the New London politicians who countenanced this face ought to end it twitching at the end of a rope.

Last 5 posts by Ken

11 Comments

11 Comments

  1. Jag  •  Nov 11, 2009 @2:07 pm

    What a massive cock up. I know a few people that have clerked for the Supremes. While extremely intelligent, I wouldn’t trust them to accurately interpret a grocery list.

  2. Doug  •  Nov 11, 2009 @3:56 pm

    It, I think, would have been more economically efficient if 1.) govt stayed out of it and 2.) the company would have paid a lot for it. Obviously, some of the landowners would not sold at any price (I would have – I can imagine a lot), but if it was too much to pay, the company should have gone somewhere else.

  3. ES  •  Nov 11, 2009 @4:08 pm

    I like the decision in Kelo. Most people misunderstand it. O’Connor said that it was *up to the states* to decide what “common good” was, and that if Conn decided mowing over people’s houses to give to a corporation was “common good,” that’s Conn’s prerogative. It’s a states’ rights issue. You don’t like it? Write your local legislator. This is a great example of “states rights” that needs to be expounded to the “Tenthers” popping up at tea bagging events hosted by Glenn Beck. States can’t be trusted with shit. They realistically are like the high school Student Body Administration- decide what goes on the lunch menu and that’s it.

    Can’t wait till the Wise Latina becomes the 6th vote to overturn Roe/ Casey so that can be a state decision too. That should separate the wheat from the chaff as Texasistan gets buried under the weight of 100,000 unwanted babies a year.

  4. Chuck  •  Nov 11, 2009 @6:11 pm

    @ES: Brilliant parody. A post so confused it could have been written by the lawyers who lost this case.

  5. matthew  •  Nov 11, 2009 @11:38 pm

    The court decision might still be boneheaded, but it’s not clear that Kelo changed the law of the land at all. Justice Douglas had said pretty much the same thing about 50 years before Kelo in Berman v. Parker. I’d just argue that state and local planners are dumber than they used to be.

  6. piperTom  •  Nov 12, 2009 @8:17 am

    Beware Ken! If you start executing politicians for disrespecting property rights, we’ll have damn few left!

  7. ES  •  Nov 12, 2009 @9:40 am

    Chuck, allow me to introduce you to your epic fail:

    In affirming the City’s authority to take petitioners’ properties, we do not minimize the hardship that condemnations may entail, notwithstanding the payment of just compensation. We emphasize that nothing in our opinion precludes any State from placing further restrictions on its exercise of the takings power. Indeed, many States already impose “public use” requirements that are stricter than the federal baseline. Some of these requirements have been established as a matter of state constitutional law,22 while others are expressed in state eminent domain statutes that carefully limit the grounds upon which takings may be exercised.

    It took California 2 attempts to get an “anti Kelo” statute passed, because special interests ostensibly in the construction industry ran brilliant ads like this one:

    http://www.youtube.com/watch?v=_UFbIEy6Z7s&feature=related

    90 was flawed, but we finally passed a less flawed Prop 99 over this incomprehensible prop 98:

    http://ballotpedia.org/wiki/index.php/California_Proposition_98_versus_California_Proposition_99_%282008%29

    Point being, I don’t trust states with shit. The decision I would have liked was NO TAKING FROM A TO GIVE TO B EXCEPT FOR THOROUGHFARES (RR tracks and airports). Done and done.

    Is that enough of a parody for you?

  8. eddie  •  Nov 12, 2009 @3:20 pm

    TJIC would be so proud of you now.

  9. Chuck  •  Nov 12, 2009 @6:35 pm

    Hi ES –
    Glad to see you looked up the opinion. Did you notice that O’Connor didn’t write it? In fact, she wrote the dissent — making her one of the few lawyers involved in this charade to emerge without shame. But I guess you disagree, since you like the opinion.
    As for that quote from Stevens, why do you think it matters? Of course the Kelo opinion does not overturn the Tenth Amendment. And the subtext concedes the original point: “We are not going to enforce the Fifth Amendment anymore, but the people can still do it if they want.”

  10. ES  •  Nov 13, 2009 @10:20 am

    Yeah, getting the name of the justice who wrote the opinion wrong totally voids my argument. I apologize.

    I like this decision in an ironic way. I want states to have more and more rights until finally the South breaks off again, only this time we shouldn’t stop them.

  11. GregS  •  Nov 17, 2009 @3:19 pm

    The Kelo decision abolished private property rights for the sake of central planning. That’s what the decision means. There used to be a time when this would have been considered un-American.

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