Officials and landowners consider the impact of eminent domain laws
By: Cara Latham
WASHINGTON After the Planning Board recommended last month that the township declare the 40-acre area known as Gateway South Phase 1 in need of redevelopment, Mayor Dave Fried said that using eminent domain to take the land is a last resort.
But it may be necessary for redevelopment, Mayor Fried said last month.
New Jersey law allows for the taking of private property, using what’s known as eminent domain proceedings, to redevelop a blighted area. The eminent domain process itself came under scrutiny last week by state Public Advocate Ronald Chen, whose office released a report calling for legislative reform to correct the law that he said allows for governments to misuse the power of eminent domain.
"Right now, it does not protect citizens’ rights, and it needs to," said Nancy Parello, a spokeswoman for the Department of the Public Advocate, in reference to current eminent domain law.
She said that in order to use eminent domain in an area, by law, the area has to be blighted and declared as an area in need of redevelopment. But, "the state law defines it so broadly that it can basically apply to any property in the state of New Jersey," she said.
In Washington, the Planning Board voted to declare the Gateway South area as in need of redevelopment on May 23, following an extensive redevelopment study by Township Planner Abbe Kooper. Ms. Kooper presented photos to the board depicting various portions of the 15 parcels of land along Robbinsville-Allentown Road and Route 130 near the border of Hamilton Township.
Approximately 32.5 acres of the 40-acres area is owned by Pat Tammaro and once housed his family’s banana processing and delivering facility. Other businesses included in that area are Shrimp King, Colonial Motors and Russert’s Deli.
According to Ms. Kooper, the 15 parcels owned by several different people are in disrepair, severely deteriorated and a threat to public safety. Ms. Kooper had also said the area is underutilized.
Some of those characteristics including "underutilization" were pointed out by the public advocate’s office in the report, which mentioned that such terminology was too subjective and could be used to describe any property government officials think they could better utilize.
"We believe that blight should be defined much more narrowly as a state of decay," Ms. Parello said, adding that it should only apply to cases where the area poses health or safety hazards, has become an area where there has been increased police activity or where there are environmental hazards. "We’ve seen instances where homes have been declared blighted based on little more than chipping paint, or uncut grass," she said.
Mayor Dave Fried said Monday that this isn’t the case in Washington.
"I think that everybody who has driven by that area sees that it has been underutilized and that it has been so for a long time," he said.
The area could be a prime shopping area or hotel area, which would relieve the tax burden on residents and improve the overall quality of life, he said. The township is not unhappy with the business owners there, just unhappy that "one of the best parcels along Route 130 is underutilized," he said.
Further problems
The public advocate’s report also mentions that sometimes business owners or homeowners are not even aware that they could lose their properties because the law does not contain clear, plain language that requires notice of eminent domain, said Ms. Parello.
As for compensation for the property eminent domain requires landowners to be fairly compensated for their properties the rules in the law are also blurry, she said.
"We think that there should be a provision in the law that allows for replacement costs," Ms. Parello said. "You should be able to buy a comparable home in the same community, or open a comparable business in the same community."
Much of the problem is that people take what they get and go, because "it’s expensive to fight these cases; it’s expensive to hire a lawyer," she said. The legislation called for by Mr. Chen’s office would give the homeowners the right to replacement value, something that’s not currently in the law, she said.
Ms. Parello also said that current law puts the burden of proof on the residents, not government officials. In other words, if the case heads to court, "the town’s presumed to be right," she said.
Mr. Chen’s office has supported a state Assembly bill that would change the law in these areas. The bill was passed in the state Assembly last June, but has stalled in the Senate.
Mayor Fried said he agrees with the public advocate’s report and that he hopes the law is changed by Mr. Chen’s recommendations.
"The process has been scrutinized when things have been done in the dark," he said. "People should be fairly compensated and, and it should be a fairly open process. The planning and thought process should be open to the public."
Mayor Fried added that Washington is planning to do just that when it comes to redevelopment plans for Gateway South.
A 45-day window
The Township Council is not expected to review or make a decision on the 15 parcels in Gateway South until July. If the Township Council takes the Planning Board’s recommendations and declares the area in need of redevelopment, property owners would have 45 days to file an appeal with the Appellate Division of the state Superior Court to try to stop the process.
Ms. Parello said that after the 45-day deadline, technically, property owners no longer can contest the blight designation.
"’In need of redevelopment’ is really code for blight," she said. "The caveat is that in some cases that we have reviewed, the courts have essentially allowed people to later contest the blight designation because the person didn’t understand that that was what was happening. In some cases, they are allowing for the reopening of the question of blight. In other cases, the 45 days are over, and you’re out of luck."
After the 45-day period, if it is not contested, a municipality has to file a redevelopment plan and then hire developers.
"It’s rare that they’ll get the blight designation and go right into eminent domain," Ms. Parello said. "Sometimes it takes years and years."
Next, if the municipality decides to start condemnation proceedings, it has to get the properties appraised. The homeowners or business owners can do their own appraisal.
However, if a business owner or homeowner does contest the designation, "everything gets put on hold until everything is resolved," she said.
Mayor Fried said he hopes that business owners will not contest the designation. "We really want to work with them. We’ll come up with something that’s a win-win for everyone."
Jim Basso, Jr., owner of Colonial Motors, said he doesn’t know if he will contest the designation if the Township Council does pass an ordinance to do so. "I would have to think that I would. I can’t see myself laying down and letting this thing go. It leaves me out of control."
He said he hasn’t tried to work with the township yet, but plans on calling them in the next week or two to get more information.
"I can’t imagine that they’re going to tell me anything that’s going to brighten my day. It just doesn’t seem that way."
Bob Patel, owner of Russert’s Deli, said Tuesday that "we are willing to work with the township to change the look of the property to make it more presentable." But, "to be honest, we don’t see the major problems with our site," he added.
He said he is worried, however, by township officials’ comments that the properties could become more marketable if they are combined. He said if the township doesn’t present the deli with any kind of option, then he plans to contest the designation that his property is in need of redevelopment.
Mr. Tammaro and the owner of Shrimp King could not be reached for comment by press time.

