OLR Research Report


January 11, 2002

 

2002-R-0020

CRRA'S EMINENT DOMAIN POWERS

By: Paul Frisman, Research Analyst

You asked whether and to what extent the Connecticut Resources Recovery Authority (CRRA) has eminent domain power, and what recourse is available to someone whose property CRRA wants to condemn.

SUMMARY

CRRA has eminent domain power similar to that enjoyed by redevelopment agencies. It can, as a last resort, condemn (i. e. , take) real property that it determines is necessary to perform its duties.

Property owners have the same right to appeal the amount of compensation under CRRA's condemnation proceedings as they do under condemnation proceedings begun by redevelopment agencies. Owners who contest the condemnation of the property itself, rather than the amount of compensation, can seek only injunctive relief (Bahr v. O'Brion, 146 Conn. 237 (1959)).

CRRA EMINENT DOMAIN POWERS

The legislature created CRRA in 1973 as a quasi-public agency to implement the state's solid waste policy of resource recovery, reuse and recycling (CGS §§ 22a-257 through 22a-285k). Its responsibilities include planning, designing, financing, building, and operating resource recovery plants. It has the power to acquire land through condemnation to carry out its responsibilities (CGS § 22a-266(a)(7)).

CRRA must follow specific steps when condemning property. It must:

If CRRA allows a property owner to remain in possession of any property it acquires through condemnation, the reasonable value of the use and occupancy of the property is considered a lien against the condemnation award, subject only to liens on record when CRRA took title (CGS § 22a-276(f)).

APPLICABLE EMINENT DOMAIN STATUTES

The law requires CRRA to follow the same eminent domain procedure as those set out for redevelopment agencies in CGS §§ 8-128 through 8-133 (CGS § 48-12). This means depositing in Superior Court the amount it believes will compensate the owner for his property, and giving the owner notice of the amount

Table 1 (below) outlines the eminent domain process

Statement of Compensation (CGS § 8-129)

Once the agency determines how much the owners should be compensated for the property, it files a statement of compensation with the Superior Court that describes the property and lists each of its owners. The agency must record a copy of the statement with the town clerk. The law specifies that the copy must be treated as a pending action against the title (lis pendens).

Notice (CGS § 8-129)

The agency must notify each owner and each person holding a mortgage, lien, or other encumbrance on the property of the statement of compensation It must do this by service of process for those who live in Connecticut and by certified or registered mail for those who live outside of the state. With respect to the latter, the agency must send the documents to the parties' last known address if their whereabouts or existence is unknown. If the agency cannot find the last known address, it must file an affidavit to that effect with the court. The affidavit must delineate the steps the agency took to locate the address.

The agency must also publish the notice and the statement of compensation at least twice in a newspaper published in the judicial district where the property is located. The notice must state that it is intended for the widow or widower, heirs, representatives, and creditors of the person with a recorded interest in the property if he is dead. The notice must also state that the agency will file a return of notice with the court between 12 and 90 days after notifying the parties and publishing the notice. It must also state that the return of notice is binding on the parties listed in the statement of compensation and describe the actions the agency will take after it files the notice (see below).

Property Owners' or Interest Holders' Response

Apparently, property owners or interest holders have six months from the date they receive notice of the filing of the statement of compensation to respond to the agency's action. They may respond in one of four ways, each involving a different set of procedures.

No Response (CGS § 8-129). If the owners do nothing, the agency can take the property. However, before that happens, it must file a return of notice with the court between 12 and 90 days after filing the statement and notifying the parties. The court must then immediately issue a certificate of taking, which must describe the property and list each owner and person holding an interest in it. The agency must record the certificate with the town clerk, after which the agency takes the property and the owners and interest holders become entitled to compensation. At this point, the agency can begin developing the property in accordance with the plan. It can also ask the court to issue an order giving the town possession of the property.

The agency can notify the court of its decision to stop the taking at any point before the court issues the certificate of taking. The agency must notify the parties in the same way it notified them about the taking. Once the proceeding is stopped, the court must return the agency's deposit, and the agency must record a copy of the withdrawal with the town clerk (CGS § 8-130).

Property Owners or Interest Holders Accept Statement of Compensation (CGS § 8-131). The property owners or interest holders can accept the amount in the statement of compensation or negotiate with the agency to increase it. If they accept the amount, they must file a statement of acceptance with the court. If they successfully negotiate to increase the amount, the agency must file an amended compensation statement with the court and deposit the additional amount with it (CGS § 8-130). The property owners or interest holders must then file the statement of acceptance.

After they file the acceptance statement, the court must notify the agency and have a state referee approve any compensation amount over $ 10,000. If he approves, the court must notify the agency, determine each party's equity in the property and pay them accordingly. If the referee disapproves the amount, the court must notify the agency, which can amend the statement of compensation or withdraw it. It is not clear on what basis the referee would review the compensation accepted by the property owners or interest holders. It may be that the referee would determine if the property owners or interest holders understood and freely accepted the offer.

Parties Appeal Statement of Compensation (CGS § 8-132). The parties have up to six months to appeal the statement of compensation after they receive notice that the agency filed it. If there is an appeal, the court must notify the agency and appoint a state referee to hear the case. The referee must schedule a hearing, giving the agency and the parties 10 days prior notice. He must view the property, hear any relevant testimony and report his findings to the court. The referee's report must take into account any evidence relevant to the fair market value of the property, including evidence of environmental condition and required environmental remediation. The report must provide enough detail so that the court can understand the basis for the referee's decision. If the court determines the referee acted improperly, it can reject the report and appoint a new referee.

The report is binding on the parties and the agencies if the court accepts it. The court must send a certified copy of the statement of compensation and the judgment to the agency, which must pay the parties the amount that is due. The agency must pay court costs and fees if the parties win the appeal (CGS § 8-133).

Parties Request Court to Determine their Equity (CGS § 8-132a). Multiple property owners or interest holders can ask the court to determine how much they should each get out of the amount deposited with the court or indicated in the statement of compensation. The court can assign this to a state referee, who must follow the same procedure for hearing appeals.

RELOCATION ASSISTANCE

State law requires any state or municipal agency displacing people from their homes or businesses to help relocate them (CGS § 8-268). It is not clear if this law applies to CRRA because CGS § 22a-261(a) states that CRRA must not be construed as a department, institution, or agency of the state. CRRA attorney Ann Stravalle-Schmidt states the issue has never arisen because CRRA has not relocated anyone. For your information, however, we are attaching OLR Report 98-R-0614, http: //www. cga. state. ct. us/ps98/rpt/olr/98-r-0614. doc which details the statutory requirements for relocation assistance.

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