August 31, 2005
Texas' governor signed a law Wednesday strictly limiting the power of state and local government to seize private property for economic development.The measure was in response to a Supreme Court ruling in June that said governments have broad power to bulldoze people's homes to erect shopping malls or other private development to generate tax revenue.
Gov. Rick Perry added the eminent domain issue to the summer legislative agenda, and the new law was approved by the House and Senate earlier this month.
At least 25 states have considered changes to eminent domain laws this summer.
Under the Constitution, governments cannot take private property for public use without "just compensation." Local governments have traditionally used their eminent domain authority to build roads, reservoirs and other public projects. But over decades, the high court has expanded the definition of public use, allowing cities to employ eminent domain to eliminate blight.
In June, the Supreme Court ruled 5-4 that New London, Conn., could take homes for a private development project. But the ruling also allowed states to ban the practice.
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