If the state took part of your front yard to widen a road, you would be right
to expect compensation for the property that was being appropriated. But what if
the state, county or city was completely within the law to take your property
without providing any compensation to you? That is happening right now through
regulatory takings, which are used every day against the citizens of South
Carolina and is one of the issues in the larger property rights debate in the
General Assembly.
In South Carolina, property rights are not just a concern for the wealthy -
77 percent of our citizens own their own homes. In most cases, South
Carolinians' homes and property are their largest asset and the foundation of
their wealth. The public has clearly demonstrated that they want greater
property rights protection. It is time for our lawmakers to provide it.
The U.S. Supreme Court expanded eminent domain powers through the Kelo v. New
London case and raised a furor among property owners. Fortunately, many S.C.
leaders moved quickly to propose legislation that would protect private property
from governmental takings.
But South Carolinians continue to face a more common - and more serious -
threat in the face of regulatory takings by local governments. Each year,
thousands of South Carolina's property owners lose value on their property
unnecessarily, which weakens the state's financial base. Under current state
law, a property owner cannot receive compensation on a regulatory taking until
more than 95 percent of the value of the property is diminished.
Billboards, businesses, farms and homes are related by private ownership and
each is regulated through land-use plans that provide a standard of rights and
regulations to the property owner. Property owners know what they are getting
when they buy the land. Increasingly, we are seeing the rules and regulations
changed by local municipalities, which limits the owners' rights and in some
cases severely devalues the properties.
In Beaufort County, several long-standing commercial properties were rezoned
residential. This has forced many of the business owners to close their
businesses or to continue as non-conforming uses, which severely restricts their
ability to grow and be profitable. In Greenville County, one couple used their
retirement savings to invest in three billboards only to have them removed a
short time later, making their investment virtually worthless. In Charleston
County, many families have been forced to sell their land after their property
was rezoned and they were no longer allowed to divide their land among family
members.
In Dorchester County, a local ordinance would force a farmer to include an
additional 1,500-foot buffer on his property, which would take 11 acres from his
crop land.
It has been said that compensation for regulatory takings is a special
interest issue that will destroy the look and character of our great state. But
in truth, such a measure would protect all homeowners from losing their most
valuable asset to government regulation.
In the recently passed House bill (H.4503), just compensation for regulatory
takings could only be claimed if a new ordinance devalues a property, or no
compensation would be paid if a variance were given, which is what most property
owners want.
Compensation is not permitted for changes being requested by the property
owner, recognized historical areas or public nuisances.
Just compensation is only meant as a balance against unfair and burdensome
governmental policies. The legislation does not limit or restrict the powers of
local and state governments, but rather would ensure fiscal responsibility and
accountability when they exercise their power.
If the government wants to take your property to benefit the public, the
government should have to pay compensation for it. This is the same sort of
accountability we expect from individuals and corporations, and we should demand
it of our lawmakers.
Mark Nix
Executive Director
S.C. Landowners Assoc.
1419 Pendleton St.
Columbia