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The Ohio Supreme Court recently clarified Ohio law on eminent domain by deciding that cities cannot take private property solely for the purpose of economic development.

The unanimous decision puts a halt on the taking of private homes by the city of Norwood to make way for a private development complex near Cincinnati. Norwood is the first state supreme court decision on eminent domain since the U.S. Supreme Court ruled last year in the Kelo case. While the high court ruled that local governments could claim private property and turn it over to developers, it said states could set different standards for property rights.

"The Ohio Farm Bureau is extremely pleased with the Ohio Supreme Court decision in the Norwood case," said Larry Gearhardt, OFBF's director of local affairs. Gearhardt was a member of a 25-person eminent domain task force consisting of attorneys, a judge, lawmakers and city planners appointed to suggest ways to change Ohio's eminent domain law. State Sen. Timothy Grendell, R-Chesterland, and Assistant House Majority Whip Bill Seitz, R-Cincinnati, chaired the task force. On Aug. 1, it finished its recommendations for the Ohio General Assembly.

"The task force came a long way before the Norwood decision," Gearhardt said. "And the task force reached a similar conclusion to the Ohio Supreme Court's ruling."

Some of the highlights from the Ohio eminent domain task force's recommendations include an exemption for farmland from the definition of "blight". To do so, the task force revised the definition of blighted areas -- in the Norwood case the homes were declared "deteriorating" so the land could be taken for economic improvement. In a narrowed definition of blight, the task force agreed that farmland should not be included in that definition as long as it is in CAUV (current agricultural use value) or zoned for agriculture.

Gearhardt said the Ohio Farm Bureau worked hard to get attorney fees covered for property owners faced with losing land to eminent domain. The task force agreed that landowners should be awarded reasonable attorney fees and costs, including appraiser fees, in cases where the final amount of compensation is greater than 125 percent of the government's original offer for the property with an exemption for so-called quick takes. A quick take allows the government to take possession of property for construction of roads or in times of war.

"In the event a landowner should succeed at trial in proving the taking isn't necessary, they can have 100 percent of their attorney fees paid," Gearhardt said. He was also pleased with the recommendation that landowners should be compensated for actual moving and relocation expenses.

These and a number of other recommendations from the task force are in the hands of the General Assembly. Gearhardt said it's now up to lawmakers to make necessary changes to the law.

"The task force consisted of a number of people from different backgrounds. There was an obvious rural/urban dichotomy. It was a learning experience for everyone," he said.

Caption: There were a number of demonstrations held at the Statehouse to protest eminent domain abuse in Norwood. Photo by Amy Beth Graves