Court Opinion

ID: 9707453
Source: CourtListenerOpinion
Date Created: 2023-08-26 02:11:55.209463+00
Date Added: 2024-06-11T18:22:32.981093
License: Public Domain

Swainson, J.
(dissenting). I dissent from the conclusion that the City of Center Line, in this matter, is required to pay Michigan Bell Telephone Company for the cost of relocating its utility lines. I do not believe that Michigan Bell had property taken for which compensation was required. Michigan Bell acquired the right to run its lines pursuant to MCLA 484.4; MSA 22.1414. It pays no taxes on this property, and it is difficult to understand of what compensable interest it is being deprived. If Michigan Bell does have a compensable property right, then it should be taxed pursuant to Const 1963, art 9, § 5.1
Michigan Bell has a right under Michigan law to recover all costs of doing business, plus a reasonable profit. The cost of relocation of its lines would be considered a cost of doing business. Hence, Michigan Bell will be able to recover these costs through its rate structure.
I believe that MCLA 125.74(2) (e) (ii); MSA 5-.3504(2) (e) (ii), which provides:
*268“The plan shall designate the location, extent, character and estimated cost of the improvements contemplated for the area; and may include any or all of the following improvements * # # ” (emphasis added),
grants the municipality an option as to what area to include under the blighted area rehabilitation act. The City of Center Line chose not to include the relocation costs of Michigan Bell in its plan and, I believe, under the weight of authority it has the power to do this without paying compensation to Michigan Bell Telephone Company.2
Adams, J., concurred with Swainson, J.

 “The legislature shall provide for the assessment by the state of the property of those public service businesses assessed by the state at the date this constitution becomes effective, and of other property as designated by the legislature, and for the imposition and collection of taxes thereon. Property assessed by the state shall be assessed at the same proportion of its true cash value as the legislature shall specify for property subject to general ad valorem taxation. The rate of taxation on such property shall be the average rate levied upon other property in this state under the general ad valorem tax law, or, if the legislature provides, the rate of tax applicable to the property of each business enterprise assessed by the state shall be the average rate of ad valorem taxation levied upon other property in all counties in which any of such property is situated.”

 Santa Barbara County v United States, 269 F Supp 855 (CD Cal, 1967); City of Wichita v Kansas Gas & Electric Co, 204 Kan 546; 464 P2d 196 (1970); Consolidated Edison Company of New York, Inc v Lindsay, 24 NY2d 309; 300 NYS2d 321; 248 NE2d 150 (1969); New York Telephone Co v City of Binghamton, 18 NY2d 152; 272 NYS2d 359; 219 NE2d 184 (1966); State Highway Commission v Clackamas Water District, 247 Or 216; 428 P2d 395 (1967); Western Union Telegraph Co v Tarrant County, 450 SW2d 763 (Tex Civ App, 1970).