CHAPTER 4.5. PROCEDURES FOR TRANSFERRING OWNERSHIP OR CONTROL OF REAL PROPERTY BETWEEN PRIVATE PERSONS
IC 32-24-4.5
Chapter 4.5. Procedures for Transferring Ownership or Control ofReal Property Between Private Persons
IC 32-24-4.5-1
Application of chapter; "public use"
Sec. 1. (a) As used in this section, "public use" means the:
(1) possession, occupation, and enjoyment of a parcel of realproperty by the general public or a public agency for thepurpose of providing the general public with fundamentalservices, including the construction, maintenance, andreconstruction of highways, bridges, airports, ports, certifiedtechnology parks, intermodal facilities, and parks;
(2) leasing of a highway, bridge, airport, port, certifiedtechnology park, intermodal facility, or park by a public agencythat retains ownership of the parcel by written lease with rightof forfeiture; or
(3) use of a parcel of real property to create or operate a publicutility, an energy utility (as defined in IC 8-1-2.5-2), or apipeline company.
The term does not include the public benefit of economicdevelopment, including an increase in a tax base, tax revenues,employment, or general economic health.
(b) This chapter applies to a condemnor that exercises the powerof eminent domain to acquire a parcel of real property:
(1) from a private person;
(2) with the intent of ultimately transferring ownership orcontrol to another private person; and
(3) for a use that is not a public use.
(c) This chapter does not apply thirty (30) years after theacquisition of the real property.
As added by P.L.163-2006, SEC.17.
IC 32-24-4.5-2
"Condemnor"
Sec. 2. As used in this chapter, "condemnor" means a personauthorized to exercise the power of eminent domain.
As added by P.L.163-2006, SEC.17.
IC 32-24-4.5-3
"Parcel of real property"
Sec. 3. As used in this chapter, "parcel of real property" meansreal property that:
(1) is under common ownership; and
(2) a condemnor is seeking to acquire.
As added by P.L.163-2006, SEC.17.
IC 32-24-4.5-4
"Private person"
Sec. 4. As used in this chapter, "private person" means a person
other than a public agency.
As added by P.L.163-2006, SEC.17.
IC 32-24-4.5-5
"Public agency"
Sec. 5. (a) As used in this chapter, "public agency" means:
(1) a state agency (as defined in IC 4-13-1-1);
(2) a unit (as defined in IC 36-1-2-23);
(3) a body corporate and politic created by state statute;
(4) a school corporation (as defined in IC 20-26-2-4); or
(5) another governmental unit or district with eminent domainpowers.
(b) The term does not include a state educational institution.
As added by P.L.163-2006, SEC.17. Amended by P.L.2-2007,SEC.365.
IC 32-24-4.5-6
"Relocation costs"
Sec. 6. As used in this chapter, "relocation costs" meansrelocation expenses payable in accordance with the federal UniformRelocation Assistance Act (42 U.S.C. 4601 through 42 U.S.C. 4655).
As added by P.L.163-2006, SEC.17.
IC 32-24-4.5-7
Acquisition of property; conditions
Sec. 7. A condemnor may acquire a parcel of real property by theexercise of eminent domain under this chapter only if all thefollowing conditions are met:
(1) At least one (1) of the following conditions exists on theparcel of real property:
(A) The parcel contains a structure that, because of:
(i) physical condition;
(ii) use; or
(iii) occupancy;
constitutes a public nuisance.
(B) The parcel contains a structure that is unfit for humanhabitation or use because the structure:
(i) is dilapidated;
(ii) is unsanitary;
(iii) is unsafe;
(iv) is vermin infested; or
(v) does not contain the facilities or equipment required byapplicable building codes or housing codes.
(C) The parcel contains a structure that is:
(i) a fire hazard; or
(ii) otherwise dangerous to the safety of persons orproperty.
(D) The parcel contains a structure that is not fit for itsintended use because:
(i) the utilities; (ii) the sewerage;
(iii) the plumbing;
(iv) the heating; or
(v) any other similar services or facilities;
have been disconnected, destroyed, removed, or renderedineffective.
(E) The parcel:
(i) is located in a substantially developed neighborhood;
(ii) is vacant or unimproved; and
(iii) because of neglect or lack of maintenance, hasbecome a place for the accumulation of trash, garbage, orother debris or become infested by rodents or othervermin, and the neglect or lack of maintenance has notbeen corrected by the owner of the parcel within areasonable time after the owner receives notice of theaccumulation or infestation.
(F) The parcel and any improvements on the parcel are thesubject of tax delinquencies that exceed the assessed valueof the parcel and its improvements.
(G) The parcel poses a threat to public health or safetybecause the parcel contains environmental contamination.
(H) The parcel has been abandoned.
(2) The acquisition of the parcel of real property through theexercise of eminent domain is expected to accomplish morethan only increasing the property tax base of a governmententity.
(3) If the owner files a request for mediation at the time theowner files an objection or exception to an eminent domainproceeding, the mediation occurs as follows:
(A) The court shall appoint a mediator not later than ten (10)days after the request for mediation is filed.
(B) The condemnor shall engage in good faith mediationwith the owner, including the consideration of a reasonablealternative to the exercise of eminent domain.
(C) The mediation must be concluded not later than ninety(90) days after the appointment of the mediator.
(D) The condemnor shall pay the costs of the mediator.
A determination concerning whether a condition described in thissection has been met is subject to judicial review in an eminentdomain proceeding concerning the parcel of real property. If a courtdetermines that an eminent domain proceeding brought under thischapter is unauthorized because the condemnor did not meet theconditions described in this section, the court shall order thecondemnor to reimburse the owner for the owner's reasonableattorney's fees that the court finds were necessary to defend theaction.
As added by P.L.163-2006, SEC.17.
IC 32-24-4.5-8
Compensation for owners of acquired property Sec. 8. Notwithstanding IC 32-24-1, a condemnor that acquires aparcel of real property through the exercise of eminent domain underthis chapter shall compensate the owner of the parcel as follows:
(1) For agricultural land:
(A) either:
(i) payment to the owner equal to one hundred twenty-fivepercent (125%) of the fair market value of the parcel asdetermined under IC 32-24-1; or
(ii) upon the request of the owner and if the owner andcondemnor both agree, transfer to the owner of anownership interest in agricultural land that is equal inacreage to the parcel acquired through the exercise ofeminent domain;
(B) payment of any other damages determined underIC 32-24-1 and any loss incurred in a trade or business thatis attributable to the exercise of eminent domain; and
(C) payment of the owner's relocation costs, if any.
(2) For a parcel of real property occupied by the owner as aresidence:
(A) payment to the owner equal to one hundred fifty percent(150%) of the fair market value of the parcel as determinedunder IC 32-24-1;
(B) payment of any other damages determined underIC 32-24-1 and any loss incurred in a trade or business thatis attributable to the exercise of eminent domain; and
(C) payment of the owner's relocation costs, if any.
(3) For a parcel of real property not described in subdivision (1)or (2):
(A) payment to the owner equal to one hundred percent(100%) of the fair market value of the parcel as determinedunder IC 32-24-1;
(B) payment of any other damages determined underIC 32-24-1 and any loss incurred in a trade or business thatis attributable to the exercise of eminent domain; and
(C) payment of the owner's relocation costs, if any.
As added by P.L.163-2006, SEC.17.
IC 32-24-4.5-9
Offer of settlement
Sec. 9. (a) Not later than forty-five (45) days before a trialinvolving the issue of compensation, the condemnor shall, and anowner may, file and serve on the other party an offer of settlement.Not more than five (5) days after the date the offer of settlement isserved, the party served may respond by filing and serving upon theother party an acceptance or a counter offer of settlement. The offermust state that it is made under this section and specify the amount,exclusive of interest and costs, that the party serving the offer iswilling to accept as just compensation and damages for the propertysought to be acquired. The offer or counter offer supersedes anyother offer previously made under this chapter by the party. (b) An offer of settlement is considered rejected unless anacceptance in writing is filed and served on the party making theoffer before the trial on the issue of the amount of damages begins.
(c) If the offer is rejected, it may not be referred to for anypurpose at the trial but may be considered solely for the purpose ofawarding costs and litigation expenses under section 10 of thischapter.
(d) This section does not limit or restrict the right of an owner topayment of any amounts authorized by law in addition to damagesfor the property taken from the owner.
As added by P.L.163-2006, SEC.17.
IC 32-24-4.5-10
Costs of proceedings
Sec. 10. (a) Except as provided in subsection (b), the condemnorshall pay the costs of the proceedings.
(b) If there is a trial, the additional costs caused by the trial shallbe paid as ordered by the court. However, if there is a trial and theamount of damages awarded to the owner by the judgment, exclusiveof interest and costs, is greater than the amount specified in the lastoffer of settlement made by the condemnor under section 9 of thischapter, the court shall require the condemnor to pay the owner'slitigation expenses, including reasonable attorney's fees, in anamount that does not exceed twenty-five percent (25%) of the costof the acquisition.
As added by P.L.163-2006, SEC.17.
IC 32-24-4.5-11
Acquisition of property in certain project areas
Sec. 11. (a) This section applies to a parcel of real propertylocated in a project area:
(1) that is located in only one (1) county;
(2) that is at least ten (10) acres in size; and
(3) in which a condemnor or its agents has acquired clear titleto at least ninety percent (90%) of the parcels in the projectarea.
(b) As used in this section, "project area" means an areadesignated by a condemnor and the legislative body for thecondemnor for economic development.
(c) Notwithstanding sections 7 and 8 of this chapter, a condemnormay acquire a parcel of real property by the exercise of eminentdomain under this section only if all of the following conditions aremet:
(1) The parcel of real property is not occupied by the owner ofthe parcel as a residence.
(2) The legislative body for the condemnor adopts a resolutionby a two-thirds (2/3) vote that authorizes the condemnor toexercise eminent domain over a particular parcel of realproperty.
(d) A condemnor that acquires a parcel of real property through
the exercise of eminent domain under this section shall compensatethe owner of the parcel as follows:
(1) Payment to the owner equal to one hundred twenty fivepercent (125%) of the fair market value of the parcel asdetermined under IC 32-24-1.
(2) Payment of any other damages as determined underIC 32-24-1 and any loss incurred in a trade or business that isattributable to the exercise of eminent domain.
(3) Payment of the owner's relocation costs, if any.
(e) The condemnor may not acquire a parcel of real propertythrough the exercise of eminent domain under this section if theowner of the parcel demonstrates by clear and convincing evidencethat:
(1) the location of the parcel is essential to the viability of theowner's commercial activity; and
(2) the payment of damages and relocation costs cannotadequately compensate the owner of the parcel.
(f) The court shall award the payment of reasonable attorney'sfees to the owner of a parcel in accordance with this chapter.
As added by P.L.163-2006, SEC.17.