LD 1207 LR 1468(01)
An Act To Base the Value of Eminent Domain Takings on Going Concern Value
Preliminary Fiscal Impact Statement for Original Bill
Sponsor: Rep. Giles of Belfast
Committee: Judiciary
Fiscal Note Required: Yes
Preliminary Fiscal Impact Statement
2009-10 2010-11 Projections 2011-12 Projections 2012-13
Net Cost (Savings)
General Fund $138,113 $184,150 $184,150 $184,150
Highway Fund $927,200 $840,500 $840,500 $840,500
General Fund $138,113 $184,150 $184,150 $184,150
Highway Fund $927,200 $840,500 $840,500 $840,500
Fiscal Detail and Notes
This legislation establishes criteria for determination of compensation for loss or impairment of the going concern value of a business when the property is taken by the Department of Transportation by eminent domain.  The Department of Transportation will require a Highway Fund allocation of $927,200 in fiscal year 2009-10 and $840,500 in fiscal year 2010-11.  This amount includes expected increased legal fees due to this legislation, appraisal costs, consultant costs and training.  It also includes an estimated Capital Expenditures funding allocation of $300,000 per year for compensation of loss or impairment to businesses.  This estimate is based upon 10.7% of total acquisition cost.  The Executive Department will also require a General Fund appropriation of $138,113 in fiscal year 2009-10 and $184,150 in fiscal year 2010-11 to contract for business damage ombudsman services.