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You are here: Home / News / Local News / Reed Proposes Law Allowing Property Owners Right to Sue Government for Lost Income

Reed Proposes Law Allowing Property Owners Right to Sue Government for Lost Income

January 28, 2015 By WRFA Radio 1 Comment

Rep. Tom Reed (R-Corning), has been a long-time supporter of the Keystone XL Pipeline legislation, saying it will create jobs and assist with manufacturing growth in the United States.

Rep. Tom Reed (R-Corning), has been a long-time supporter of the Keystone XL Pipeline legislation, saying it will create jobs and assist with manufacturing growth in the United States.

WASHINGTON – Congressman Tom Reed (R-Corning) says New York residents who are not allowed to use their property for fracking purposes should be compensated by New York State.

Earlier this week Reed announced a proposal he’s introduced in the House that would make it easier for property owners to sue the state for compensation for the money they’ve lost by not being able to cash in on the natural gas.

Under Reed’s Defense of Property Rights Act (DOPRA), property owners would be able to bring such lawsuits in U.S. District Court or the Court of Claims. They would be entitled to compensation from any government that takes an action that diminishes the value of their property by 20 percent or at least $20,000.

That would mean that Southern Tier property owners would have a better chance at being able to sue the state for their losses now that they can’t capitalize on their natural gas mineral rights.

Under current law, Reed said, property owners generally wouldn’t have a case unless a government action rendered their property useless.

But some say the proposal could have unintended consequences, because the proposal, if put into law, would affect all sorts of government actions across the country, not just New York’s fracking ban.

But Reed says the bill is necessary. In a released statement, he said that it’s not fair for private property owners to be left on the sidelines while local, state and federal governments’ make decisions for them on what they can and cannot do with their property.

The bill is being considered in committee and no timeline is not yet known on when it may see action by the full house.

SUMMARY OF DEFENSE OF PROPERTY RIGHTS ACT (DOPRA)

Compensation

  • Provides opportunity for compensation for property owners when government action significantly impairs the value of ownership of their property.
  • Promotes accountability by making government actors liable for compensation to impacted property owners as a result of burdensome government actions.

Legal Reform

  • Streamlines Federal Court process to ensure an avenue to adjudicate claims
  • Helps ensure fundamental fairness is provided to property owners

In addition:

  • Significant impairment of property rights is set at $20,000 or 20% of property value whichever is less
  • Establishes a 6 year statute of limitations
  • Allows attorney fees to be awarded to prevailing property owner
  • Sets in place an arbitration or alternative dispute resolution process between parties
  • Ensures nothing in the bill is construed with the State authority to create additional property rights
  • Takes effect upon enactment.

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Filed Under: Local News Tagged With: Court of Claims, Defense of Property Rights Act, House of Representatives, Tom Reed, U.S. District Court

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Comments

  1. Cath Kestler says

    January 28, 2015 at 11:09 am

    What a joke! Reed will do anything to try to get Cuomo to lift the fracking ban in New York state. Another way to be self serving, he own land and wants to frack. All that big oil and gas money he got donated to his campaign…..every bill he is tied to is pay back to his big donors. Wake up, people!

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