I 

111TH CONGRESS 

2D SESSION H. R. 5582 

To authorize appropriations for the Department of Commerce and to prohibit 

Federal economic development funds to States that carry out public 

takings for private purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JUNE 23, 2010 

Mr. SULLIVAN (for himself, Mr. BROUN of Georgia, Mr. LUCAS, Mr. KLINE

of Minnesota, Mr. SHIMKUS, Mr. CULBERSON, Mr. BURTON of Indiana, 

Mr. ROONEY, Mr. MARCHANT, Mr. POSEY, Mr. HERGER, Mrs. SCHMIDT, 

Mr. SHADEGG, Mr. FRANKS of Arizona, Mr. HALL of Texas, Mr. ROGERS

of Michigan, Mr. BURGESS, Mr. GOHMERT, Mr. GINGREY of Georgia, and 

Mr. FLEMING) introduced the following bill; which was referred to the 

Committee on Energy and Commerce, and in addition to the Committees 

on Transportation and Infrastructure and Financial Services, for a period 

to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee 

concerned 

A BILL 

To authorize appropriations for the Department of Commerce and to prohibit Federal economic development 

funds to States that carry out public takings for private 

purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 


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1 SECTION 1. SHORT TITLE. 

2 This Act may be cited as the ‘‘Private Property 

3 Rights Protection and Government Accountability Act’’. 

4 SEC. 2. FINDINGS. 

5 Congress finds that— 

6 (1) Congress has the power to regulate com7 merce among the several States and Indian tribes; 

8 (2) property rights are essential to interstate 

9 commerce, ensuring that individuals make the best 

10 economic use of their property; 

11 (3) potential residents and businesses may 

12 avoid communities that have a record of taking pri13 vate property for private economic development; 

14 (4) public takings for private purposes are 

15 harmful to communities and to interstate commerce; 

16 (5) public taking of private property for eco17 nomic development is not a traditional nor sound 

18 function of State or local government; and 

19 (6) in order to promote and protect interstate 

20 commerce, public takings for private purposes should 

21 be prohibited. 

22 SEC. 3. PROHIBITION ON ECONOMIC DEVELOPMENT 

23 FUNDS. 

24 Any State or political subdivision of a State that car25 ries out a public taking for any private purpose in or af26 fecting interstate commerce shall not be eligible to receive 


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1 any Federal economic development funds for a period of 

2 10 fiscal years. 

3 SEC. 4. INJUNCTIVE RELIEF AND RESTORATION TO OWNER. 

4 (a) CAUSE OF ACTION.—Any owner of private prop5 erty that is subject to a public taking described in section 

6 3 may bring an action in the appropriate Federal or State 

7 court to obtain injunctive and declaratory relief. 

8 (b) ATTORNEYS’ FEE AND OTHER COSTS.—In any 

9 action or proceeding under this section, the court shall 

10 allow a prevailing plaintiff a reasonable attorneys’ fee as 

11 part of the costs, and include expert fees as part of the 

12 attorneys’ fee. 

13 SEC. 5. DEFINITIONS. 

14 As used in this Act, the following definitions apply: 

15 (1) PRIVATE PURPOSE.— 

16 (A) IN GENERAL.—The term ‘‘private pur17 pose’’, with regard to property that has been 

18 acquired and conveyed through a public taking, 

19 means the ownership, control, or use of such 

20 property by a private party or parties that ad21 vances the economic interests of the private 

22 party or parties. Such term includes but is not 

23 limited to the following: 

24 (i) Any use of such property in an 

25 economic development plan of which the 


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1 benefit to the public is increased tax rev2 enue, increased employment, or other indi3 rect benefit. 

4 (ii) The lease of such property to a 

5 private party or parties for private develop6 ment, including commercial, industrial, or 

7 residential development. 

8 (iii) Any control of such property by a 

9 private party that— 

10 (I) excludes a general public use 

11 or benefit; or 

12 (II) primarily benefits the private 

13 party or parties and benefits the pub14 lic indirectly. 

15 (B) EXCEPTIONS.—Such term shall not in16 clude— 

17 (i) conveying private property to pub18 lic ownership, such as for a road, hospital, 

19 or prison, or to an entity, such as a com20 mon carrier, that makes the property avail21 able for use by the general public as of 

22 right, such as a railroad, public utility, or 

23 public facility, or for use as a right of way, 

24 aqueduct, pipeline, or similar use; 


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1 (ii) acquiring property to eliminate 

2 harmful uses of the property, provided 

3 such uses present an imminent and sub4 stantial danger to the public health or wel5 fare; 

6 (iii) leasing property to a private per7 son or entity that occupies an incidental 

8 part of public property or a public facility, 

9 such as a retail establishment on the 

10 ground floor of a public building; 

11 (iv) acquiring abandoned property; 

12 and 

13 (v) clearing defective chains of title. 

14 (2) FEDERAL ECONOMIC DEVELOPMENT

15 FUNDS.—The term ‘‘Federal economic development 

16 funds’’ means any Federal funds— 

17 (A) administered by the Secretary of Com18 merce, the Secretary of Energy, or the Adminis19 trator of the Environmental Protection Agency, 

20 and distributed to or through States or political 

21 subdivisions of States, to the extent such funds 

22 are not provided to assist States or political 

23 subdivisions of States in complying with any re24 quirements of Federal law or regulation; or 


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1 (B) distributed to or through States or po2 litical subdivisions of States under Federal laws 

3 and whose purpose is to promote interstate 

4 commerce and improve or increase the size of 

5 the economies of States or political subdivisions 

6 of States. 

7 (3) PUBLIC TAKING.—The term ‘‘public taking’’ 

8 means an action by a State or political subdivision 

9 of a State or by any person or entity to which such 

10 power has been delegated that transfers all or part 

11 of the legal rights in property from a private owner 

12 to another person or to public ownership without the 

13 consent of the private owner. 

Æ 


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