IB
Union Calendar No. 23
104TH CONGRESS
1ST SESSION
H. R. 925
[Report No. 104–46]
To compensate owners of private property for the effect of certain regulatory
restrictions.
IN THE HOUSE OF REPRESENTATIVES
FEBRUARY 14, 1995
Mr. CANADY of Florida introduced the following bill; which was referred to
the Committee on the Judiciary
FEBRUARY 23, 1995
Reported with an amendment, committed to the Committee of the Whole
House on the State of the Union, and ordered to be printed
[Strike out all after the enacting clause and insert the part printed in italic]
[For text of introduced bill, see copy of bill as introduced on February 14, 1995]
A BILL
To compensate owners of private property for the effect
of certain regulatory restrictions.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Private Property Protec-
tion Act of 1995’’.
SEC. 2. RIGHT TO COMPENSATION.
(a) IN GENERAL.—The Federal Government shall com-
pensate an owner of property whose use of that property
has been limited by an agency action that diminishes the
fair market value of that property by 10 percent or more.
The amount of the compensation shall equal the diminution
in value of the property that resulted from the agency
action.
(b) DURATION
OF LIMITATION
ON USE.—Property
with respect to which compensation has been paid under
this Act shall not thereafter be used contrary to the limita-
tion imposed by the agency action, even if that action is
later rescinded or otherwise vitiated. However, if that ac-
tion is later rescinded or otherwise vitiated, and the owner
elects to refund the amount of the compensation, adjusted
for inflation, to the Treasury of the United States, the prop-
erty may be so used.
SEC. 3. EFFECT OF STATE LAW.
No compensation shall be made under this Act if the
use limited by Federal agency action is proscribed under
the law of the State in which the property is located (other
than a proscription required by a Federal law, either di-
rectly or as a condition for assistance). If a use is a nui-
sance as defined by the law of a State or is prohibited under
a local zoning ordinance, that use is proscribed for the pur-
poses of this subsection.
SEC. 4. EXCEPTIONS.
(a) PREVENTION OF HAZARD TO HEALTH AND SAFETY
OR DAMAGE TO SPECIFIC PROPERTY.—No compensation
shall be made under this Act with respect to an agency ac-
tion the purpose of which is to prevent an identifiable—
(1) hazard to public health or safety; or
(2) damage to specific property other than the
property whose use is limited.
(b) NAVIGATIONAL
SERVITUDE.—No compensation
shall be made under this Act with respect to an agency ac-
tion pursuant to the Federal navigational servitude.
SEC. 5. PROCEDURE.
(a) REQUEST OF OWNER.—An owner seeking com-
pensation under this Act shall make a written request for
compensation to the agency whose agency action resulted
in the limitation. No such request may be made later than
180 days after the owner receives actual notice of that agen-
cy action.
(b) NEGOTIATIONS.—The agency may bargain with
that owner to establish the amount of the compensation. If
the agency and the owner agree to such an amount, the
agency shall promptly pay the owner the amount agreed
upon.
(c) CHOICE OF REMEDIES.—If, not later than 180
days after the written request is made, the parties do not
come to an agreement, the owner may choose to take the
issue to binding arbitration or seek compensation in a civil
action.
(d) ARBITRATION.—The procedures that govern the ar-
bitration shall, as nearly as practicable, be those established
under title 9, United States Code, for arbitration proceed-
ings to which that title applies. An award made in such
arbitration shall include a reasonable attorney’s fee and ap-
praisal fees. The agency shall promptly pay any award
made to the owner.
(e) CIVIL ACTION.—An owner who does not choose ar-
bitration, or who does not receive prompt payment when
required by this section, may obtain appropriate relief in
a civil action against the agency. An owner who prevails
in a civil action under this section shall be entitled to, and
the agency shall be liable for, a reasonable attorney’s fee
and appraisal fees. The court shall award interest on the
amount of any compensation from the time of the limita-
tion.
(f) SOURCE
OF PAYMENTS.—Any payment made
under this section to an owner, and any judgment obtained
by an owner in a civil action under this section shall, not-
withstanding any other provision of law, be made from the
annual appropriation of the agency whose action occa-
sioned the payment or judgment. If the agency action re-
sulted from a requirement imposed by another agency, then
the agency making the payment or satisfying the judgment
may seek partial or complete reimbursement from the ap-
propriated funds of the other agency. For this purpose the
head of the agency concerned may transfer or reprogram
any appropriated funds available to the agency. If insuffi-
cient funds exist for the payment or to satisfy the judgment,
it shall be the duty of the head of the agency to seek the
appropriation of such funds for the next fiscal year.
SEC. 6. DEFINITIONS.
For the purposes of this Act—
(1) the term ‘‘property’’ means land and in-
cludes the right to use or receive water;
(2) a use of property is limited by an agency ac-
tion if a particular legal right to use that property
no longer exists because of the action;
(3) the term ‘‘agency action’’ has the meaning
given that term in section 551 of title 5, United
States Code, but also includes the making of a grant
to a public authority conditioned upon an action by
the recipient that would constitute a limitation if
done directly by the agency;
(4) the term ‘‘agency’’ has the meaning given
that term in section 551 of title 5, United States
Code;
(5) the term ‘‘State’’ includes the District of Co-
lumbia, Puerto Rico, and any other territory or pos-
session of the United States; and
(6) the term ‘‘law of the State’’ includes the law
of a political subdivision of a State.
House Calendar No. 23
104TH CONGRESS
1ST SESSION
H. R. 925
[Report No. 104–46]
A BILL
To compensate owners of private property for the
effect of certain regulatory restrictions.
FEBRUARY 23, 1995
Reported with an amendment, committed to the Commit-
tee of the Whole House on the State of the Union, and
ordered to be printed