Without a lot of fanfare, the NC House passed a constitutional amendment yesterday to address economic development takings.

Here’s the relevant language:

“Private property shall not be taken by
eminent domain except for a public use. Public use does not include the taking
of property in order to convey an interest in the property for economic
development. Just compensation shall be paid and, if demanded, shall be
determined by a jury.

This language unlike last year’s amendment won’t expressly hurt property owners.  However, it probably won’t be of much assistance either.  It could hurt to the extent that this is the one bite at the eminent domain reform apple. 

The government rarely uses “economic development” as the reason for taking private property.  Property taken to address blight and for other pretextual purposes that get around any prohibition on economic development takings won’t be prevented.  Learn more about real eminent domain reform here.

This amendment could prove to be better than I suggest if a Court deems “public use” to really mean a true public use–this may be possible given that other sections of the NC Constitution expressly use the term “public purposes” and not “public use.” This could suggest to a court reading this amendment that the intention was not to use “public purposes” or its sister-term “public benefit,” both of which are very broad in scope and give the government significant power to take private property.

However, I wouldn’t count on this because it is more likely that a court will interpret “public use” in the same manner as the U.S. Supreme Court.

Now the amendment goes to the Senate.