« Marty is king of queens as Beep secures big bucks for gay center | Main | And from the mailbag... »
October 9, 2009
When Public Power Is Used for Private Gain
It's time for New York's highest court to say no to eminent domain abuse
Reason.com
by Damon W. Root
Reason lays out the case against Atlantic Yards.
So Ratner did what most politically-connected elites do when they run into trouble: He turned to the government—including his old Columbia law school pal Gov. George Pataki—for a bailout. More specifically, Ratner partnered with the Empire State Development Corporation (ESDC), a controversial and embattled state agency with the power to bypass zoning laws and seize private property via eminent domain.
The result of that unholy union is Goldstein v. New York State Urban Development Corporation, which New York's Court of Appeals—the state's highest court—will hear next Wednesday in Albany. At issue is the ESDC's use of eminent domain to seize privately-owned homes and businesses on behalf of Bruce Ratner's Atlantic Yards.
It's a classic case of eminent domain abuse. Ratner isn't planning to build a bridge or a road or any other legitimate public project that might permit the forceful taking of private property. He wants to build a basketball arena, sell tickets to the games (not to mention sell broadcast rights, advertising space, concessions, and merchandise), and make a big fat profit. That's not public use, it's private gain.
...So what should New York's highest court do about this corporate welfare boondoggle? Remember that New York is one of just seven states that has yet to pass any laws protecting property rights in the wake of the Supreme Court's notorious 2005 decision in Kelo v. City of New London, which allowed that municipality to seize private property on behalf of the Pfizer Corporation. As Robert McNamara, a staff attorney at the Institute for Justice, told me, "New York is one of the most egregious abusers of eminent domain in the country. With no meaningful change coming from the legislature, New Yorkers need the courts to start reining in these abuses. This case is a perfect place to start."
Posted by eric at October 9, 2009 10:14 AM