Laguna Woods Municipal Code Ch. 11.08 Eminent Domain for Redevelopment and Economic Development

California Health and Safety Code § 33000 et seq. authorizes a City to establish a redevelopment agency by ordinance. Once established, a redevelopment agency may acquire property through eminent domain in furtherance of a redevelopment plan. A redevelopment agency's eminent domain authority includes the power to take private property and transfer it to another private entity for the purpose of redevelopment. Unlike redevelopment agencies, cities generally cannot use eminent domain to transfer private property from one private owner to another private owner.

The City of Laguna Woods has not established a redevelopment agency. Nevertheless, there exists concern in the community that the City will exercise its eminent domain authority to acquire private residential property for redevelopment by a private party. There also exists concern in the community that the City may establish a redevelopment agency and the agency may exercise its eminent domain power to acquire private residential property for redevelopment by a private party. The purpose of this chapter is to address those concerns by enacting a limitation regarding the use of eminent domain by the City and by any redevelopment agency authorized by the City.

(Ord. No. 06-05, § 1, 8-16-2006)

The following words, terms and phrases, when used in this chapter, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning. The word "shall" is always mandatory and not merely directory.

(05) Commercial shall have the meaning set forth at Laguna Woods Municipal Code Section 13.06.010(c)(225).

(10) Industrial shall mean the manufacturing, processing, repairing, renovating, painting, cleaning, assembling, storage, and/or research and development of goods, merchandise, technology, and/or equipment.

(15) Redevelopment shall have the meaning set forth at California Health and Safety Code § 33020 et seq.

(20) Residential property means any building designed for living and sleeping purposes, and having independent cooking and sanitation facilities. This excludes hotels, motels, and other temporary dwelling areas.

(25) Retail shall have the meaning set forth at Laguna Woods Municipal Code Section 13.06.010(c)(660).

(Ord. No. 06-05, § 1, 8-16-2006)

The City shall not be permitted to acquire residential property by eminent domain for the sole purpose of transferring ownership of that residential property to a private party for use in a private commercial, retail, industrial, and/or residential property development.

(Ord. No. 06-05, § 1, 8-16-2006)

Any redevelopment agency authorized by the City pursuant to California Health and Safety Code § 33000 et seq. shall not be permitted to acquire residential property by eminent domain for the purpose of redevelopment by a private party.

(Ord. No. 06-05, § 1, 8-16-2006)