The proposed General Assembly Raised Bill No. 7143 seeks to restrict the use of eminent domain for commercial purposes that primarily aim to enhance local tax revenue or generate income for private entities. The bill introduces new legal language that prohibits redevelopment agencies from acquiring real property for these purposes, thereby protecting property owners from potential misuse of eminent domain. It also modifies the definition of a "redevelopment plan" to exclude plans that would result in income for private entities from properties acquired through eminent domain. Additionally, the bill establishes stricter requirements for public hearings and approvals of redevelopment plans, ensuring that public benefits are prioritized over private gains.

Furthermore, the bill amends existing laws related to development projects by clarifying the definition of "business purpose" and introducing new requirements for development project plans. It emphasizes that any acquisition of real property must focus on public benefits and prohibits the condemnation process from being used primarily for private income generation. The bill also mandates comprehensive development plans for municipal projects, requiring detailed assessments of their impact on the community. These changes, effective October 1, 2025, aim to ensure that development initiatives serve the public interest and contribute positively to the economic welfare of municipalities and the state.

Statutes affected:
Raised Bill: 8-187