"Blight-Sweet-Blight" Excerpts of an article from Legal Times Full document available here In late July, the Ohio Supreme Court issued what may be the most important eminent domain decision since the U.S. Supreme Court ruling in Kelo v. City of New London (2005). Norwood v. Horney indirectly raises an important issue that has often been ignored in the debate over Kelo: the condemnation of supposedly “blighted” property. Eminent domain abuse cannot be effectively addressed without limiting blight condemnations, which have caused more harm than any other kind of taking. |
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| 500 Acres To Be Declared Blight and "Slum" Near Centerra 7 of 9 Council members likely to go along with McWhinney request given votes so far on this issue In an audacious move to qualify an additional 500 acres of properties owned by McWhinney for new special tax rebates for 25 years, the Loveland City Council has received a study claiming five blocks of land in east Loveland are "blight" and uses terms such as "slums" and "inadequate transportation" to describe the land. The study entitled, "Loveland Regional Improvements Blight Study" is now available here along with other details regarding the preparations being made by Loveland staff for a major amendment to their agreement with McWhinney. The Council is expected to officially declare the blight and abdicate their governmental authority to McWhinney during the August 19, 2008 City Council meeting. 1. April 16, 2008 - Secret meetings held with McWhinney to brief a "land swap" to Council 2. June 2, 2008 - "Flexibility" plan announced and purpose of secret meetings disclosed 3. June 24, 2008 - "Cornucopia" Council annexes and zones parcels in preparation for "Flexibility" plan 4. July 2, 2008 - City Council tense as Councilman Kent Solt reminds Council that he can't support annexations since "entire picture" has not yet been revealed to the public. |
| Approximation of areas McWhinney wants declared blight Block 1 A rural area of productive farm land just east of Boyd Lake Block 2 Agricultural land along highway 34 in Loveland Block 3 A small parcel of land along highway 34 next to 'Grand Station' Block 4 Open land east of Centerra Block 5 The old dog racing track - the report notes it is mostly parking area. |
Loveland - August 31, 2008
The Loveland City Council will be asked to consider what some are calling an “abdication” of their official duties in a way that The
Loveland City Council will be asked to consider what some are calling an “abdication” of their official duties in a way that
governmental authority and decision making discretion over which properties can be used in future tax rebate schemes by removing
makes Loveland vulnerable to future lawsuits. The “Flex" plan is apparently the first attempt by a developer in Colorado to gain
the City of Loveland from the approval process.
The plan will consciously include more land than the 1,000 acres council has authorized for TIF (Tax Increment Financing) by
declaring another 500 acres near Centerra and owned by McWhinney as blight and give the developer the ability to pick and
choose which land will be included and which will not be – thus the name “Flex" Plan.
Lovelandpolitics has learned that several public policy organizations outside Loveland are watching this vote very closely as well as
legal experts on the subject. Due to the many legal issues it appears to ignore, some believe Loveland’s City Council may be guilty
of “abuse of discretion” if they declare highly desirable open land as “blight” while also voting to abdicate not only their authority
but that of future councils through the “Flex” plan.
Below is a quick summary of some of the legal challenges/issues Loveland may be facing should they proceed with the “Flex” plan.
1. Colorado Statute 31-25-170(1) states, “Boundaries should be drawn as narrowly as the governing body determines feasible”
to accomplish objectives. Intentionally declaring 500 more acres as blighted and letting the developer pick and choose later
(without council approval) which will be included in the tax subsidy appears to be at odds with the plain language in the law which
calls for the boundaries to be drawn as narrowly as is feasible.
2. The governing body (city council) is required by law to make a finding that any proposed “Urban Renewal” plan is consistent
with the city’s general plan document. By providing the McWhinney’s carte-blanch to make their own determinations without
review by the council for consistency with the general plan means ignoring this section of the law -- according to legal experts
looking into the matter.
3. State law 31-25-107 (3)(a) and (7) require public notice of substantial modifications to URAs and Council approval of plans
or modifications. As one organization informed Lovelandpolitics, “The city is claiming that future designation of areas as TIF would
NOT require council approval or public notice. This appears to fly in the face of the law making Loveland vulnerable to future
lawsuits.”
The Loveland City Council will be asked to consider what some are calling an “abdication” of their official duties in a way that The
Loveland City Council will be asked to consider what some are calling an “abdication” of their official duties in a way that
governmental authority and decision making discretion over which properties can be used in future tax rebate schemes by removing
makes Loveland vulnerable to future lawsuits. The “Flex" plan is apparently the first attempt by a developer in Colorado to gain
the City of Loveland from the approval process.
The plan will consciously include more land than the 1,000 acres council has authorized for TIF (Tax Increment Financing) by
declaring another 500 acres near Centerra and owned by McWhinney as blight and give the developer the ability to pick and
choose which land will be included and which will not be – thus the name “Flex" Plan.
Lovelandpolitics has learned that several public policy organizations outside Loveland are watching this vote very closely as well as
legal experts on the subject. Due to the many legal issues it appears to ignore, some believe Loveland’s City Council may be guilty
of “abuse of discretion” if they declare highly desirable open land as “blight” while also voting to abdicate not only their authority
but that of future councils through the “Flex” plan.
Below is a quick summary of some of the legal challenges/issues Loveland may be facing should they proceed with the “Flex” plan.
1. Colorado Statute 31-25-170(1) states, “Boundaries should be drawn as narrowly as the governing body determines feasible”
to accomplish objectives. Intentionally declaring 500 more acres as blighted and letting the developer pick and choose later
(without council approval) which will be included in the tax subsidy appears to be at odds with the plain language in the law which
calls for the boundaries to be drawn as narrowly as is feasible.
2. The governing body (city council) is required by law to make a finding that any proposed “Urban Renewal” plan is consistent
with the city’s general plan document. By providing the McWhinney’s carte-blanch to make their own determinations without
review by the council for consistency with the general plan means ignoring this section of the law -- according to legal experts
looking into the matter.
3. State law 31-25-107 (3)(a) and (7) require public notice of substantial modifications to URAs and Council approval of plans
or modifications. As one organization informed Lovelandpolitics, “The city is claiming that future designation of areas as TIF would
NOT require council approval or public notice. This appears to fly in the face of the law making Loveland vulnerable to future
lawsuits.”
| Outside Groups Watching Decision Closely As Council Prepares To Abdicate Governmental Authority To Private Entity |