May 8th, 2008

A legal analysis of House Bill 1278’s demise

From Attorney Michael R. McCormick
of Montgomery Little Soran & Murray, PC

The Colorado Legislature’s indefinite postponement of HB 1278, which would have prohibited RTD condemnation of private property for mixed public-private development for Fastracks, is an ominous sign for Colorado landowners concerned about private property rights.

The Colorado Legislature did not take any steps this session to prohibit RTD’s condemnation of private property for mixed public-private development, giving RTD a green light for such condemnations. As RTD’s construction costs for Fastracks continue to rise and RTD funding grows ever shorter, we can expect more and more attempts from RTD to enter
partnerships with developers for such condemnations. The private developer will pay RTD for some of the transportation improvement construction costs in return for RTD condemning a portion of the property for the developer’s private commercial use. The Legislature’s failure to act signals an upcoming battle in Colorado Courts over this use of RTD’s eminent domain powers.