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TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 1 TO TITLE 28 SO AS TO ENACT THE SOUTH CAROLINA PRIVATE PROPERTY RIGHTS PROTECTION ACT; TO AMEND SECTIONS 28-2-60, AND 28-2-210, RELATING TO EMINENT DOMAIN BY SUBSTITUTING "PUBLIC USE" FOR "PUBLIC PURPOSE"; TO AMEND SECTION 28-11-30, RELATING TO ACQUISITIONS OF REAL PROPERTY BY STATES AND POLITICAL SUBDIVISIONS, SO AS TO SUBSTITUTE "PUBLIC BODY" FOR "ENTITY"; TO AMEND SECTION 4-9-30, AS AMENDED, RELATING TO A COUNTY'S POWERS UNDER THE ALTERNATE FORMS OF GOVERNMENT, SO AS TO REQUIRE A COUNTY TO ADHERE TO STATEWIDE STANDARDS OF EXERCISING EMINENT DOMAIN AND DELETE PROVISIONS CONCERNING THE USE OF EMINENT DOMAIN TO UNDERTAKE AND CARRY OUT CLEARANCE AND REDEVELOPMENT OF BLIGHTED OR SLUM PROPERTY; AND TO AMEND SECTION 5-7-50, RELATING TO A MUNICIPALITY'S POWER OF EMINENT DOMAIN, SO AS TO REQUIRE A MUNICIPALITY TO ADHERE TO STATEWIDE STANDARDS OF EXERCISING EMINENT DOMAIN AND DELETE PROVISIONS CONCERNING USE OF EMINENT DOMAIN TO UNDERTAKE AND CARRY OUT CLEARANCE AND REDEVELOPMENT OF BLIGHTED OR SLUM PROPERTY.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Title 28 of the 1976 Code is amended by adding:
Section 28-1-10. This chapter may be cited as 'The South Carolina Private Property Rights Protection Act.'
Section 28-1-20. As used in this title:
(1) 'Public body' means this State or any county, city, town, municipal corporation, municipality, authority, other political subdivision, agency, body, or instrumentality, corporate or otherwise, authorized by law to exercise the power of eminent domain in South Carolina.
(2) 'Public use' means the standard by which private property may be condemned by a public body and requires that:
(a) the property must not be condemned for a private use; (b) the public body must own, operate, and retain control over the condemned property for the performance of a public function, or the public-at-large must have a fixed, definite, and enforceable right to possess, occupy, and enjoy the condemned property;
(c) the public use for which property may be condemned must be more than a speculative or incidental public use; and
(d) a mere public purpose or public benefit including, but not limited to the purpose or benefit of economic development, does not constitute the requisite public use for property to be condemned by eminent domain.
Section 28-1-30. Notwithstanding any other provision of law to the contrary, a public body's acquisition of private property through the exercise of eminent domain must comply with the following requirements:
(1) the public body must own, operate, and retain control over the condemned property for the performance of a public function;
(2) the public body may not delegate to another public or private entity its authority to exercise eminent domain or condemn private property;
(3) the public body must prove by a preponderance of the evidence that a proposed condemnation is for a public use, and that the entity will own, operate, and retain control over the condemned property;
(4) the public use must be described at least six months in advance of the institution of condemnation proceedings:
(a) in a certified planning document or published report prepared by the entity and available or accessible for public viewing; and
(b) at a public hearing held specifically to address the proposed condemnation; and
(5) if the condemned property is not put to the public use for which it was condemned within ten years of the date of condemnation, the public body must offer the condemned property for sale to the person who owned it before condemnation or his heirs or assigns at the condemnation price, and if the offer is not accepted within ninety days from the date the offer is made, the property may be sold to any other person or persons but only at public sale after legal notice is given."
SECTION 2. Section 28-2-60 of the 1976 Code is amended to read:
"Section 28-2-60. A condemnor may commence an action under pursuant to this chapter for the acquisition of an interest in any real property necessary for any a public purpose use. The provisions of this chapter shall constitute title are the exclusive procedure whereby by which condemnation may be undertaken in this State."
SECTION 3. Section 28-2-210 of the 1976 Code is amended to read:
"Section 28-2-210. Any A condemnor may institute an action under pursuant to this chapter for the acquisition of an interest in any real property necessary for any a public purpose use. The provisions of this act title constitute the exclusive procedure whereby by which condemnation may be undertaken in this State."
SECTION 4. Section 28-11-30 of the 1976 Code is amended to read:
"Section 28-11-30. To the extent that Title III of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (Public Law 91-646) makes certain requirements pertaining to the acquisition of real property by states prerequisites to Federal aid to such states in programs or projects involving the acquisition of real property for public uses, state agencies and instrumentalities and political subdivisions and local government agencies and instrumentalities involved in such programs or projects are empowered to expend available public funds as provided hereafter, whether or not the program or project is federally aided.
(1) Any person, agency, or other entity public body acquiring real property for public use in any project or program shall as soon as practicable after the date of payment of the purchase price or the date of deposit into court of funds to satisfy the award of compensation in a condemnation proceeding to acquire real property, whichever is the earlier, reimburse the owner, to the extent the State deems fair and reasonable, for expenses he necessarily incurred for (a) recording fees, transfer taxes and similar expenses incidental to conveying such real property to the State; (b) penalty costs for prepayment for preexisting recorded mortgage entered into in good faith encumbering such real property; and (c) the pro rata portion of real property taxes paid which are allocable to a period subsequent to the date of vesting title in the agency concerned, or the effective date of possession of such real property by such agency, whichever is the earlier.
(2) Where a condemnation proceeding is instituted by the agency to acquire real property for such use and (i) the final judgment is that the real property cannot be acquired by condemnation or (ii) the proceeding is abandoned, the owner of any right, title, or interest in such real property shall be paid such sum as will, in the opinion of the agency, reimburse such owner for his reasonable attorney, appraisal and engineering fees actually incurred because of the condemnation proceedings. The award of such sums will be paid by the person, agency, or other entity public body which sought to condemn the property.
(3) Where an inverse condemnation proceeding is instituted by the owner of any right, title, or interest in real property because of use of his property in any program or project, the court, rendering a judgment for the plaintiff in such proceeding and awarding compensation for the taking of property, or the attorney effecting a settlement of any such proceeding, shall determine and award or allow to such plaintiff, as a part of such judgment or settlement, such sum as will, in the opinion of the court or the agency's attorney, reimburse such plaintiff for his reasonable costs, disbursements and expenses, including reasonable attorney, appraisal and engineering fees, actually incurred because of such proceeding."
SECTION 5. Section 4-9-30(4) and (15) of the 1976 Code is amended to read:
"(4) to exercise powers of eminent domain for county purposes except where the land concerned is devoted to a public use as provided in Article I, Section 13 of the State Constitution and Chapter 1 of Title 28; except that this authority does not apply to property devoted to public use, and further provided, however, the property of corporations not for profit organized under pursuant to the provisions of Chapter 35 of Title 33 shall is not be subject to condemnation unless the county in which their the service area of the corporation is located intends to make comparable water service available in such the service area and such the condemnation is for that purpose. After any such the condemnation, the county shall assume all obligations of the corporation related to the property and the facilities thereon which on it that were condemned;"
"(15) to undertake and carry out slum clearance and redevelopment work in areas which are predominantly slum or blighted, the preparation of such areas for reuse, and the sale or other disposition of such areas to private enterprise for private uses or to public bodies for public uses and to that end the General Assembly delegates to any county the right to exercise the power of eminent domain as to any property essential to the plan of slum clearance and redevelopment. Any county may acquire air rights or subsurface rights, both as hereinafter defined, by any means permitted by law for acquisition or real estate, including eminent domain, and may dispose of air rights and subsurface rights regardless of how or for what purpose acquired for public use by lease, mortgage, sale, or otherwise. Air rights shall mean estates, rights, and interests in the space above the surface of the ground or the surface of streets, roads, or rights-of-way including access, support, and other appurtenant rights required for the utilization thereof Reserved;"
SECTION 6. Section 5-7-50 of the 1976 Code of Laws is amended to read:
"Section 5-7-50. Any A municipality desiring to become the owner of any land or to acquire any an easement or right-of-way therein in land for any an authorized corporate or public purpose shall have the right to may condemn such the land or right-of-way or easement, subject to the general law of this State and as provided in Article II, Section 13, Chapter 1 of Title 28, within and without the corporate limits in the county in which it is situated and in any adjoining county or counties. This authority shall does not apply to any property devoted to public use; provided, however, the property of corporations not for profit organized under pursuant to the provisions of Chapter 35 of Title 33, shall is not be subject to condemnation unless the municipality in which their the corporation's service area is located intends to make comparable water service available in such that service area and such the condemnation is for that purpose. After any such the condemnation, the municipality shall assume all obligations of the corporation related to the property and the facilities thereon which on it that were condemned. Provided, however, that any incorporated municipality, or any housing or redevelopment authority now existing or hereafter established to function, may undertake and carry out slum clearance and redevelopment work in areas which are predominately slum or blighted, the preparation of such areas for reuse, and the sale or other disposition of such areas to private enterprise or to public bodies for public uses and to that end the General Assembly delegates to any incorporated municipality, or such authorities, the right to exercise the power of eminent domain as to any property essential to the plan of slum clearance and redevelopment. Any incorporated municipality, political subdivision or authority may acquire air rights or subsurface rights, both as hereinafter defined, by any means permitted by law for acquisition of real estate, including eminent domain, and may dispose of air rights and subsurface rights regardless of who or for what purpose acquired for private or public use by lease, mortgage, sale or otherwise. Air rights shall mean estates, rights and interests in the space above the surface of the ground or the surface of streets, roads, or rights-of-ways including access, support and other appurtenant rights required for the utilization thereof. Subsurface rights shall mean estates, rights and interests in the space below the surface of the ground or the surface of streets, roads, or rights-of-way including access, support and other appurtenant rights required for the utilization thereof."
SECTION 7. If any section, subsection, paragraph, subparagraph, sentence, clause, phrase, or word of this act is for any reason held to be unconstitutional or invalid, such holding shall not affect the constitutionality or validity of the remaining portions of this act, the General Assembly hereby declaring that it would have passed this chapter, and each and every section, subsection, paragraph, subparagraph, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more other sections, subsections, paragraphs, subparagraphs, sentences, clauses, phrases, or words hereof may be declared to be unconstitutional, invalid, or otherwise ineffective.
SECTION 8. This act takes effect upon approval by the Governor and is binding upon entities that exercise the power of eminent domain in this State before ratification of an amendment to the Constitution of this State authorizing the act's provisions.
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